Alsea, a Mexican restaurant company, has agreed to acquire 25% stake in Grupo Axo, a distributor and retailer of international clothing and cosmetic brands in Mexico.
The deal is in line with company's plans to grow in new segments of retail and new markets.
Grupo Axo owns over 116 stores and more than 2,200 shop-in-shop outlets at department stores in Mexico under brands including Brooks Brothers, Crate & Barrel and Sephora.
Alsea chief executive Fabian Gosselin stated that the acquisition will give Alsea a new opportunity to capitalizie on its competitive advantages and contribute to increasing its profitability.
"Our solid business model will allow us to diversify segments, achieve better penetration in the markets in which we participate, and ensure efficient and profitable operation by representing successful and internationally recognized brands through the synergies of two leaders in the consumption sector," Gosselin added.
Grupo Axo corporate vice president Carlos Miranda said the transaction gives a chance to work with a company in Latin America in its segment.
"Joining forces together with Alsea and its world-class platform will allow us to accelerate our growth in Mexico, and it will open up the opportunity to replace our successful business model throughout the rest of Latin America," Miranda added.
Alsea operated 1,431 units under brands such as Domino's Pizza, Starbucks, Burger King and Chili's across Mexico, Argentina, Chile and Colombia as of March 2013.
