Lifetime Brands, Inc. (NASDAQ GS: LCUT), a leading global provider of kitchenware, tabletop, home décor and lifestyle products, today announced it has acquired a 40% equity interest in GS Internacional S/A (“GSI”).
GSI is a leading wholesale distributor of branded housewares products in Brazil. The company markets dinnerware, glassware, home décor, kitchenware and barware to over 7,000 customers, including major department stores, housewares retailers and independent shops throughout Brazil. The company’s principal office and distribution facilities are located in Serra, State of Espirito Santo, close to Vitória, Brazil’s largest container port. GSI also maintains a showroom and offices in São Paulo.
Jeffrey Siegel, Lifetime’s Chairman, President and Chief Executive Officer commented,
“This investment represents another step in executing our strategy to accelerate our growth and to strengthen our business by investing in successful companies in partnership with strong local management teams.
“We are impressed by GSI and the quality and commitment of its management team, led by Paulo Soares. We look forward to working with Paulo to build GSI into the preeminent housewares company in South America.
“Our partnership with GSI will provide Lifetime with access to the rapidly growing Mercosul Area; allowing us to become a more effective global resource to our key retailer partners.”
Paulo Sergio G. Soares, GSI’s founder and Chief Executive said,
”Our partnership with Lifetime Brands, which includes access to many of Lifetime’s brands and to its product development and global sourcing capabilities, will enable GSI to enhance its growth and profitability, and to reinforce its position as a leading supplier of high quality, innovative housewares products to retailers in Brazil and other parts of South America.”
The investment will have no material impact on Lifetime’s diluted earnings per share in 2011, and is expected to be accretive to the Company’s diluted earnings per share in 2012. The terms of the acquisition were not announced.