Birks Sells Corporate Sales Division for $4.3 Million
August 05, 15
(IDEX Online News) – Jewelry store chain the Birks Group Inc. has sold its Corporate Sales Division, also known as "Birks Business," to Rideau Recognition Solutions Inc. for C$5.625 million ($4.3 million).
The Corporate Sales Division services business customers by providing them with unique items for recognition programs, service awards and business gifts.
As part of the agreement, Birks will supply Rideau with Birks-branded jewelry and watches and will receive ongoing royalty payments from Rideau related to the license of the Birks Business Brand and future sales of Birks-branded products.
"The sale of our Corporate Sales Division is part of our long-term corporate strategy to focus our efforts and resources on our core objectives to develop and grow the Birks product and retail brands," said Jean-Christophe Bédos, president and CEO of Birks Group.
“By unlocking the value of our corporate sales operations through this agreement with Rideau, we will reinvest the funds to continue to strengthen our retail distribution with the goal of generating long-term brand and shareholder value.”