SCHUMER ANNOUNCES THAT SAMUELSOHN, A HIGH-END SUIT MAKER, WILL ACQUIRE HICKEY FREEMAN; DEAL WILL STRENGTHEN COMPANY, BRING NEW WORK & JOBS TO ROCHESTER
Schumer Announced Likely Deal in May 2013 & Said Today That Official Deal Will Bring New Opportunity for Expansion, Boost Company – Samuelsohn Makes High-End Suits Sold at Companies Like Nordstroms & Plans to Do New Work in Rochester
Samuelsohn, a Highly-Successful and Rapidly-Growing Suit Company, Is Looking to Keep Jobs and Add to Production at Rochester Plant
Schumer: Samuelsohn Will Stabilize & Strengthen Storied Rochester Company For Years to Come
Last week, U.S. Senator Charles E. Schumer announced that Samuelsohn Limited, a premium menswear brand based in Montreal, will purchase US-based Hickey Freeman, including its Rochester factory, from W. Diamond Group. Samuelsohn will enter into a 40-year license agreement for the Hickey Freeman brand with Authentic Brands Group. Schumer said that Samuelsohn plans to bring new lines of business to the Rochester facility, preserving jobs, and potentially adding new ones. Schumer spoke to Stephen Granovsky, co-owner and CEO of Samuelsohn, in May 2013 to discuss the potential deal, and after investigating their plans Schumer highlighted that this highly-successful and rapidly-growing company could bring more stability and growth opportunities to Hickey Freeman.
As part of the transaction, Samuelsohn CEO Stephen Granovsky, President and Chief Creative Officer Arnold Brant Silverstone and President and Chief Operating Officer Alan Abramowicz will expand their roles to include Hickey Freeman oversight and development.
"I will always fight to strengthen and grow Hickey Freeman in Rochester and have been pleased to stand with the company and its workers so that this day could come," said Senator Schumer. "This union with Samuelsohn buttons together two of the finest North American suit makers and will grow jobs and bring new work to Hickey Freeman's Rochester workforce in a way that will stabilize and strengthen this storied Rochester institution for decades to come."
"We are delighted to acquire Hickey Freeman," said Stephen Granovsky, who is CEO of Grano Retail Holdings, Samuelsohn and the future CEO of Hickey Freeman. "We consider the Rochester factory to be a diamond in the rough. It is very productive and we look forward to working with the Rochester team to grow the business significantly over the next three to five years."
Specifically, Samuelsohn believes it can grow Hickey Freeman by as much as fifty percent in the next three to five years, which is in line with the growth achieved at Samuelsohn after it was also acquired by Grano Retail Holdings in 2010. Since 2010, Stephen Granovsky reported to Schumer the Samuelsohn plant has increased employment by 30% and increased revenues by over 50% percent. Schumer noted that Samuelsohn has a well-developed sales channel, with a presence in over 250 North American department stores, including Neiman Marcus, Saks Fifth Avenue, and Nordstrom.
This deal will build on the proud, 114 year history of Hickey Freeman in Rochester and will provide opportunity for continued growth and expansion, according to Schumer. Under the deal, Authentic Brands would license the Hickey Freeman brand to Samuelson and would aim to bring the Rochester plant back to full operating capacity, which is not currently the case. Schumer highlighted that the union representing Hickey Freeman workers also represents the workers at Samuelsohn’s Montreal factory, and that they support this deal and believe Samuelsohn will bring financial stability to the company and the workers. Samuelsohn’s plan would be to add more work to the Rochester factory to stabilize its current 350 union workers, and they then intend to add more net jobs by growing the Hickey Freeman brand, expanding distribution, and potentially adding production for additional lines of business at the Rochester plant.
The acquisition announcement comes at the beginning of the Men’s Spring 2014 Market Week in New York where Samuelsohn will be showcasing its newest collections to top retailers and media. Samuelsohn also has another cause to celebrate—2013 marks the 90th Anniversary for the brand who will celebrate the milestone anniversary at a cocktail reception on July 21 during Market Week festivities.