Seafolly rescues swimwear rival Tigerlily

Australian swimwear brand Seafolly has come to the rescue of its struggling competitor Tigerlily, purchasing the boho swimwear brand out of its second voluntary administration.

Transaction snapshot:

  • Deal value: Estimated at $2.3 million, with an additional third-party contribution of $750,000
  • Deal multiples: N/A
  • Deal type: Acquisition via deed of company arrangement
  • Investors: Seafolly (owned by Hong Kong-registered Bondi Brands Group)

Tigerlily, founded nearly 25 years ago in Sydney, fell into voluntary administration for the first time in 2021 due to the fallout from the Covid-19 pandemic. The brand was rescued months later by Crumpler under Crescent Capital. However, in March this year, Tigerlily announced it had fallen back into voluntary administration following an unsuccessful search for a buyer.

Seafolly, which accounts for a third of Australia's entire women's swimwear market, stepped in to acquire Tigerlily this week. The deed of company arrangement is estimated to be worth $2.3 million, with an additional third-party contribution of $750,000.

This is not the first time Seafolly has come to the aid of a rival. In 2020, the company saved leading Australian swimwear brand JETS Swimwear from voluntary administration following the collapse of PAS Group.

Seafolly itself was acquired by Hong Kong-registered Bondi Brands Group for $70 million in August last year. With 30 stores across 50 countries, the brand is deeply connected to its Australian beach roots, embodying the "Australian beach lifestyle."

Following the acquisition, Seafolly plans to relaunch Tigerlily early next year after a restructure. Tigerlily continued to operate during its recent voluntary administration and sale process, managing ten boutiques across Australia as well as its Ecommerce website.

📌 if you're looking to learn more about how to go about your own exit, or would like to learn more about the M&A landscape in Australia, click here to book in a free confidential consultation.

Back to blog