The series of acquisitions is set to propel Jolidon towards becoming one of the leaders of the European lingerie market. In early 2007, Jolidon, one of the few Romanian companies that have managed to expand abroad, bought the majority stake in Italian lingerie producer Emmeci.
In the first few months this year as well, a second acquisition on the Italian market targeted the local rival of Emmeci, Lilly, which has a distribution network in 30 countries and annual production that exceeds 6 million lingerie items. However, before sealing this acquisition, Jolidon also bought the majority stake in Tricotaje Ineu plant.
In the wake of the two acquisitions, Jolidon's domestic production capacities will rise by 30% and a further three brands will be added to its portfolio - Lilly, Eclizia and Kelitha.
"Together with experienced firms, we can forge a powerful group on the international lingerie market, despite our short 15-year history". This is how the Cluj businessman explains the series of acquisitions sealed domestically and abroad.
Whereas abroad Cirlig targets well-known brands, domestically the owner of Jolidon is looking for plants that will allow him to boost lingerie and bathing suit production. During the past four years, Jolidon has become the majority stakeholder in another three companies.
The first on the acquisition list was Argos, in 2004. According to its own estimates, after the acquisition Jolidon gained over 40% of a lingerie market that exceeded 100m euros. Two years later, Jolidon bought LCS Conf textile firm.
"We're permanently making acquisitions," says Cirlig, hinting that he will buy more companies. For the time being, however, his main concern is the launch of new stores.
By late 2008, another 14 new stores will be opened countrywide in the wake of investments worth around 1.5m euros.
Overall, Jolidon operates a network of 119 stores, which includes 71 in Romania, 3 in Hungary, 35 in Italy and 10 boutiques in France, in a franchise system. The 10-store chain of France will double by yearend. In parallel, the company is considering entering the apparel market with Falla-branded stores. Jolidon's expansion into clothing retail is not unique among lingerie and bathing suit producers.
With subsidiaries in Hungary, France and Italy, nine lingerie and two clothing brands in its portfolio, Cirlig expects turnover to advance by over 30% compared with last year, which would probably mean around 80m euros.
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