Hong Kong listing does wonders for Samsonite’s bottom line

Reports 17% year-on-year H1 net profit increase.

American multinational luggage manufacturer and retailer Samsonite International SA raised over US$225 million in an initial public offering in Hong Kong in June 2011.

By listing in Hong Kong, Samsonite sought to use the city to boost its presence in fast-growing Asian markets, especially China.

Following an upbeat first-half performance, Samsonite said it intends to spend up to US$1 billion on new acquisitions of Chinese and Asian brands in the next two to three years to diversify its product range.

It said its 17% year-on-year net profit increase in the first half was the result of a successful diversification in terms of brands, products and markets.

Samsonite expects China to become its biggest market in about three years, overtaking the USA. It saw net sales increase to a record US$984 million with 38% of its global sales for the first six months coming from Asia. It said that 9.5% of its sales were in China.

HB NEWS