Swedish Firm to Buy Cutter & Buck

Who says Friday the 13th is unlucky? Officials for Seattle-based sportswear manufacturer/marketer Cutter & Buck announced on April 13 that the company has agreed to be acquired by Stockholm-based New Wave Group for $156.5 million in cash. The deal is expected to close at the end of May.

New Wave Group designs and markets consumer products for the corporate promotional and consumer retail markets in Europe. The combination of the two companies provides Cutter & Buck with a “significantly expanded product offering for the United States market and gives New Wave Group AB an upscale golf and sportswear brand to distribute in Europe,” according to a release.

New Wave Group designs and markets clothing, accessories, and gifts for the corporate promotional and consumer retail markets under several proprietary brands, including Orrefors, Kosta Boda, Sagaform, Craft, New Wave, Clique, ProJob, Jobman, Seger, Grizzly, and James Harvest Sportswear. In fiscal 2006 it logged net sales of approximately $512 million.

Founded in 1990, Cutter & Buck posted net sales of $131.3 million in fiscal 2006, representing a nearly 4% increase over 2005. But its net income fell nearly 27%, to $6.3 million from $8.6 million in 2005. It sells primarily to golf and specialty retailers, corporations, international distributors, and licensees, though also sells directly to consumers via the Web and a print catalog.