Landmark Management Services, the leading force in travel retail fashion in the Philippines, has entered into a 50/50 joint venture for duty free/travel retail fashion operations with SSI Group* – the number one local market fashion and luxury retailer in the county, Moodie International, one of the UK’s most successful multi-media business-to-business publishers and information providers has reported.
Landmark Management Services operates the duty free and travel retail fashion business at the country’s leading airports and at the downtown Fiesta Mall on a sub-concession from Duty Free Philippines on a supply and management basis.
Under the deal SSI has taken a 50 per cent stake in Landmark, owned by the most well-known figure in the Philippines travel retail industry – Jose Maria ‘Chim’ N. Esteban III. The deal excludes the duty free/travel retail beauty business run by Esteban.
SSI, through wholly owned subsidiary SKL International, acquired the 50 per cent stake from Landmark’s two shareholders, Regent Asia Group and Prime Ltd (Duty Free Distributors). Price details were not disclosed other than the fact that it represented less than 5 per cent of SSI’s book value.
Esteban was the first General Manager of Duty Free Philippines (DFP), driving it from a start-up with sales of less than $ 10 million in its first year to a $ 219 million turnover when he left in 1992. In 1998 he became a sub-concessionaire to DFP through his company Fashion Walk – later adding perfumes and cosmetics to the retail portfolio.
The joint venture brings together the country’s most powerful players in travel retail and local market fashion and luxury and will help accelerate the growth of these categories, Esteban told The Moodie Report.
“We’ll be working closely in expanding the fashion categories in Philippines duty free,” Esteban said. “With the combination of their strength and the brands’ support we can grow a much better duty free business. It’s exciting times.”
SSI president Anthony T. Huang said, “We believe that, with SSI’s retailing experience and Landmark’s deep understanding of the unique shopping requirements of travelers, we can expand our market to cover tourists and business travelers.” (SH)