Cambridge Satchel Company gets funding for further expansion, focus on Asia
The Cambridge Satchel Company has received an investment from private equity firm Cassia Investments.
Cassia founder Faris Ayoub has also joined the British handbag maker as a director.
The undisclosed sum will go towards supporting the company’s expansion plans, following the opening of a townhouse-style store in Oxford earlier this month.
Beyond the financial incentive, Cassia’s backing comes with an important benefit: the Hong Kong-based firm understands the Asian market. Its portfolio of investments include Shanghai Tang, the Chinese luxury brand, and Evisu, the Japanese clothing retailer.
And after posting losses for the fourth consecutive year, the Cambridge Satchel Company is eyeing Asia for growth. In its latest accounts for the year ended June 2018, the business said that it will be expanding its efforts in China, where it has established a business network and launched a dedicated website.
Julie Deane, brand founder and majority owner, told the Evening Standard: “The investor brings skills and experience in the Asian market, important to the growth of Cambridge Satchel.”
Cassia added that the brand has “an aspirational appeal to consumers globally”.
It's a difficult time to expand into Asian markets. The region is suffering significant disruption caused by the coronavirus outbreak, and the stringent government measures to contain it are threatening to impact the growth of major markets.
According to a new survey from Alliance Bernstein and Boston Consulting Group, luxury goods brands are set to face a €40bn hit to their revenues as sales in China have slowed. But in a post-coronavirus world, Asia will continue to be the biggest growth market globally.
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