Baltic biggest fashion company Baltika signed agreements on the purchase of the Bastion trademark and the acquisition of retail stores operated under the Bastion trade name. The parties have agreed that the price of the transaction will not be disclosed. Bastion positioning and collection handwriting will remain the same; Baltika´s target is to strengthen its export capability.
"Acquiring Bastion brand is part of the strategy of strengthening our brand portfolio and additional brand allows us to expand our target group of customers, to offer a wider product range and to increase our market share in the Baltics," said Meelis Milder, Chairman of Baltika Management Board. "Our target is to maintain Bastion positioning and collection handwriting and to strengthen its export capability. We see big potential for the brand in retail and wholesale in the Baltics, Scandinavia and Eastern Europe. We have similar successful experience with Ivo Nikkolo - we acquired the brand in 2006 and by today we have multiplied its revenus, number of stores and loyal customers."
"Estonian market is too small for Bastion and Baltika to be competitors. I am convinced that in Baltika´s brand portfolio Bastion offers additional value for the customers and that the contract strengthens international competitiveness of Estonian fashion business. Baltika has strong team and all needed competence to take Bastion brand to the next level," said Gert Stahl, Member of Bastion Management Board.
"Bastion has strong loyal customer base and good location stores in strong shopping centres. We continue operating six stores in Estonia and one store in Latvia. We do not take over two outlet stores and the wholesale store in Jõhvi," Meelis Milder added. "Employees of retail system join Baltika and with the intention to keep brand´s collection handwriting and fitting suitable for female figure, two designers and pattern maker also join our team. The establisher and today´s head designer Merike Pääro will continue co-operation as a consultant."
Baltika Group (www.baltikagroup.com) is a fashion retailer operating four retail concepts: Monton, Mosaic, Baltman and Ivo Nikkolo. Group brands are represented in Eastern and Central Europe. Baltika employs a vertically integrated business model which means that the Group controls all stages of the fashion process: design, manufacturing, supply chain management, distribution/logistics and retail sales. Such a model enables Baltika quickly respond to customers´ needs and wishes. Baltika operates 106 stores.
Bastion (www.bastion.ee) is an Estonian fashion brand established in 1987. The brand is oriented to woman appreciating quality, classical fashion and Estonian production. The brand has 7 stores in Tallinn, Tartu, Pärnu and Riga. Revenue for 2011 was 1.4 million euros.