Columbia Sportswear is set to acquire the remaining 40% stake in Columbia Sportswear Commercial from Swire Resources in China.

Columbia Sportswear Commercial is a joint venture operated in China by Columbia Sportswear, who owns 60%, and Swire Resources, who owns 40%.

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Columbia Sportswear Commercial currently operates 86 retail stores and brand-specific e-commerce websites to sell its products in China.

“The acquisition is consistent with our strategy to accelerate investment as a brand-led, consumer-first business in the areas of highest growth potential for our existing brands.”

The joint venture also has distribution relationships with 50 wholesale dealers, under which, it has access to 750 retail locations.

The transaction, which is expected to be complete by 01 January next year, is subject to regulatory approval in China and other conditions.

After completion of the transaction, Jason Zhu will continue as the general manager of Columbia Sportswear Commercial.

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Columbia Sportswear will continue the existing staff, dealers, management team and distribution networks of both companies in China.

The company also plans to invest in strengthening the Columbia brand in China and expanding its direct and dealer-operated retail locations.

On the other hand, Swire Resources will continue as the independent distributor of Columbia Sportswear in Hong Kong and Macau.

Columbia Sportswear president and chief executive officer Tim Boyle said: “We thank Swire Resources for contributing to the success and growth of the Columbia brand in China.

“They have been an exceptional partner for us over the years and we look forward to continuing our strong relationship in Hong Kong and Macau going forward.

“The acquisition is consistent with our strategy to accelerate investment as a brand-led, consumer-first business in the areas of highest growth potential for our existing brands.”