Leatherwear, footwear and accessories manufacturer Bonia Corporation Bhd will enter into the men’s wear market at the end of next month when it completes its acquisition of Dominion Directions Sdn Bhd for RM11.6 million via a cash and share swap.
Dominion’s 75 per cent owned unit, VR Directions, manufactures and distributes men’s apparel and accessories, including the International Valentino Rudy label. Dominion is itself the distributor of Bonia Uomo’s men apparel and accessories in Malaysia.
According to Bonia finance director Chong Chin Look, the men’s apparel business will eventually contribute 25-30 per cent of Bonia’s turnover.
Speaking after the company’s extraordinary general meeting yesterday, Chong also said Bonia is considering expanding its manufacturing facilities to China where it would be able to take advantage of the lower labour and raw material costs.
Chong said the company was particularly interested in setting up the facilities in Guangzhou but was still waiting for positive changes in China following the country’s entry into the World Trade Organisation.
Bonia currently has two factories in Malaysia and a 35-38 per cent share of the domestic leatherwear market. Around 10 per cent of its products are exported to countries such as Taiwan, Hong Kong, Indonesia, Singapore and China.
Besides Bonia Uomo, Bonia’s other house brands are Bonia, Sembonia, and Carlo Rino. Bonia also has the licence to produce and distribute international brands comprising Balenciaga, Roberta di Camerino, and Polo & Racquet.