City Chic sells Avenue to US retail group
ASX-listed City Chic Collective has agreed to sell America plus-size apparel brand Avenue Stores to US-based FullBeauty Brands for an undisclosed amount.
With a history dating back more than 40 years, Avenue offers plus-size clothing to value-conscious women aged 25 to 55. The company closed its 220+ stores across 35 US states in 2019, and currently operates as an e-commerce business.
City Chic acquired the e-commerce assets of Avenue in 2019 for US$16.5 million ($24.7 million).
Following the deal with FullBeauty Brands, Avenue.com will be integrated into FullBeauty’s classic mall, adding brands including Avenue, Aveleisure, Cloudwalkers, Zim Zoe, Loralette, Avenue Studio, Aveology and Avenue Body.
FullBeauty said the deal will enable it to further expand in the $81 billion women’s plus-sized sector, which is growing three times faster than the broader women’s apparel market.
“We are building a US-based brand team to singularly focus on delivering for the Avenue customer,” said Jim Fogarty, CEO of FullBeauty Brands.
“We are also rooting for our seller and a strong City Chic brand, as City Chic will continue to be sold both on Avenue.com and by our most recent acquisition, Dia.”
Avenue is FullBeauty’s fourth acquisition in just over a year, following its recent purchases of online fashion marketplace Dia, intimates brand Cuup, and size-inclusive fashion label Eloquii.
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