U.S. outdoor clothing and footwear maker Columbia Sportswear Co. said Jan. 2 it completed its buyout of the remaining 40% interest in Columbia Sportswear Commercial (Shanghai) Co. Ltd., its joint venture with Swire Pacific Ltd.'s Swire Resources Ltd.
Financial terms of the transaction were not disclosed.
The Shanghai-based venture was established in 2014 and had an initial term of 20 years. It also included a provision for the purchase or sale of the minority interest any time after the fifth year, Columbia Sportswear said when it announced its intention to buy out Swire Resources from the JV in April 2018.
Following the transaction, Swire Resources will continue to serve as the exclusive independent distributor of Columbia Sportswear in Hong Kong and Macau, the company said.
In the latest announcement, Columbia Sportswear said the company is "committed to investing in the continued long-term success of Columbia in the crucial Chinese market."
The company plans to expand direct and dealer-operated retail locations in China, maintain its existing management team, staff, dealers and distribution networks, as well as continue building the Columbia brand in the country.