New Zealand retailer, Kathmandu will acquire iconic Australian brand, Rip Curl for $350 million. The acquisition will help diversify Kathmandu’s winter outdoor and adventure offering, with Rip Curl’s sport and surfing-related products such as wetsuits and boardshorts.

The acquisition is expected to deliver combined revenue of more than $930 million, as well as a combined footprint of 341 owned retail stores, 254 licensed stores and over 7,300 wholesale doorways globally.

With Rip Curl’s presence in North America and Europe, the acquisition will enable Kathmandu to accelerate its international expansion into these key regions. Kathmandu will also be able to expand its wholesale business by leveraging Rip Curl’s wholesale expertise, relationships and global network.

In turn, Rip Curl hopes to leverage Kathmandu’s online capabilities to accelerate its underpenetrated online channel and utilise Kathmandu’s retail expertise to improve the efficiency of its store network.

Michael Daly will continue to lead Rip Curl from its headquarters in Torquay, Victoria and will report to Kathmandu CEO, Xavier Simonet. Rip Curl founders and CEO will remain invested in Rip Curl under Kathmandu ownership.

Kathmandu CEO, Xavier Simonet, said the acquisition presents an opportunity for Kathmandu to grow and diversify. “The acquisition of Rip Curl transforms Kathmandu into a NZ$1.0 billion outdoor and action sports company, anchored by two iconic global Australasian brands,” he said.

“The combination of Kathmandu, Oboz and Rip Curl achieves diversification in product, channel, geography and seasonality, and creates a platform for the acceleration of our brands’ global expansion into new channels and markets. Importantly, there is also strong cultural alignment between our brands, underpinned by a shared focus on quality, innovation and sustainability.”

Rip Curl CEO, Michael Daly, said the brand is excited to partner with another iconic Australasian brand that shares the vision of creating high quality functional products for outdoor and action enthusiasts. “We look forward to continuing to grow the Rip Curl brand as part of the Kathmandu group.”