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Billabong acquires sunglasses and snow goggles maker Von Zipper

Irvine-based Billabong USA made its first acquisition last week with the purchase of sunglasses and snow goggle maker Von Zipper in San Clemente for an undisclosed sum.

Billabong doesn’t plan to make any changes to Von Zipper’s strategy but rather provide backing to grow the business, according to Paul Naude, president of Billabong USA. Since its debut a year ago, Von Zipper’s edgy marketing has given the brand recognition in the competitive youth market, according to Naude.

“We liked that it was new, young and edgy and there wasn’t much baggage with it,” Naude said of Von Zipper. “The team they have in place is good. We are not going to turn it into a big company overnight. The intention is to maintain the brand’s integrity, market it on a global basis and have fun with it.”

Former Arnette Optical Illusions marketing director Chris Burke and The Realm’s Rob and Jeff Riese and Greg Tomlinson founded Von Zipper last year. Billabong plans to retain the company’s management, its seven employees and its operation in San Clemente. Von Zipper products sell for $65 to $140.

The bulk of Von Zipper’s business comes from the U.S. and Japan, but Billabong plans to expand the line into Australia and Europe.

Billabong USA’s parent company went public last year on the Australian Stock Exchange and has been looking to expand through deals and new products and markets that complement its main business, according to its Matthew Perrin, chief executive of Brisbane-based Billabong International Ltd.

“We are particularly looking at wholesalers of products in the surf industry such as sunglasses, shoes and branded apparel,” Perrin told Reuters in February.

“Certainly our intention is to pursue other product categories within the industry, but we are in no rush,” Naude said. “We will wait for the right opportunity. It’s fair to say this won’t be our last acquisition.”

Billabong also is developing its first chain of specialty company stores and has three outlet stores in California.

Billabong, whose shares are up 50% since its August 11 debut Down Under, reported $99 million in sales and a $12 million profit for the six months ended Dec. 31. The Irvine unit accounts for roughly half of Billabong’s sales.

“The outlook for the balance of the financial year is solid and we see no evidence to date of any impact from an uncertain economic environment,” Billabong officials said in a statement. “The directors remain confident of meeting full year prospectus forecasts.”

Billabong, founded in Australia (in 1973,) ranks second in the surfwear industry to Huntington Beach-based Quiksilver Inc., which counts more than 800 OC employees and sales of $515 million for the year ended Oct. 29. n

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