It has been a long journey from the open market near Paddington station in London to some of the glitziest venues all over the world, but the Spanish company that owns Pepe Jeans has grown exponentially in popularity over the past few decades. Recently, they became so attractive that they caught the attention of the M1 Group, a Lebanese conglomerate that currently excels in telecommunications holdings, cement, and other fashion offerings like Faconnable of France.
Synergy in terms of market growth and a combination of expertise are two areas where the firm is expected to make a difference under the new owners, who are experienced at driving growth across Europe, Africa, Asia, and the United States. They had previously built one of the first cell phone giants in the Mediterranean region before selling a great deal of it off to a firm from the African continent. With the proceeds, they decided to create a new group that would diversify in specific areas that reflected the strengths that their experience brought to the table.
The question for most analysts is not whether the addition of Pepe Jeans is going to be another feather in the cap of a strong fashion division at the M1 Group. It is instead whether this purchase represents just the beginning in terms of a purchasing trend that may lead the group to market leadership in even more categories. The M1 Group has a lot of positive press locally, but tends to seem to prefer to remain innocuous when it comes to taking credit for the overall growth of its holdings. So it is left to the market to divine whether or not Pepe Jeans is the start of a trend, or a lengthy step that will solidify market position on the continents in which it operates.
One nice thing for the people that work in both enterprises is that the synergy is such that there is very little impact predicted on employment for those that are in either firm.