Superdry has sold its Asia-Pacific intellectual property assets with the hopes of expanding its global reach while generating much-needed cash. 

The leisurewear retailer sold its IP in much of the Asia-Pacific region to South Korean business Cowell Fashion Company in an agreement worth $50m (£40.7m).

Cowell Fashion Company is an “experienced local operator” within the Asia-Pacific region and has been listed on the South Korean stock exchange since April 2015. 

The deal means the South Korean firm will own and use the Superdry brand in key markets within Asia and it plans to “maximise Superdry’s potential across the region”. 

Superdry will provide “support and know-how” to the business for two years after the completion of the sale and will be paid an additional $1m (£800,000) management fee as part of the deal.

Superdry said it plans to build a collaborative partnership with Cowell, “capitalising on the shift in consumer preferences in Asia towards lifestyle product”, while keeping developments aligned with Superdry’s heritage.

The fashion retailer said in a statement that the partnership will provide “the best” growth opportunities for the brand and allow it to increase its sales in “more established territories where it has strongest expertise”.

Superdry founder and chief executive Julian Dunkerton said: “This agreement offers the Superdry brand a fantastic opportunity to expand its global reach, while providing additional funding to help deliver our turnaround programme in the face of the challenging consumer landscape.

“I’m absolutely thrilled by the opportunity to work together with Cowell to create inspiring products consistent with our brand heritage and build out across the APAC market.”

Cowell Fashion Company chairman Lee Sun-seop added: “The collaboration between Cowell Fashion, which has state-of-the-art planning, design and production know-how, and Superdry PLC, which has a long history of innovation and brand power, can be said to be the beginning of a paradigm shift in the Korean fashion industry.

“With the two companies aligned together through explosive synergy, the plan to grow Superdry into a Superbrand across Asia is an exciting proposition as long term partners.”

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