REG - Sealand Capital - HH Simonsen distributorship agreement update

Sealand Capital GalaxyAnnouncement

17/04/2023 07:00

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RNS Number : 3236W  Sealand Capital Galaxy Limited  17 April 2023

For release: 17 April 2023

 

Sealand Capital Galaxy Limited

 

("Sealand" or the "Company")

 

HH Simonsen distributorship agreement update

 

Sealand Capital Galaxy Limited (LSE: SCGL) announces that it has entered into
the final year of its sole distribution agreement with HH Simonsen on more
favourable terms, following the success of the agreement to date, during which
the Company exceeded all sales targets.

 

The agreement with Sealand covers exclusive distribution rights into mainland
China, Hong Kong, and Macau and under the amended terms the Company will now
only pay 50% upfront for the cost of merchandise ordered from HH Simonsen,
with 90 days credit terms for the remaining 50% of the cost.  Prior to this
amendment, Sealand was liable for the full cost in cash to HH Simonsen on
order.

 

HH Simonsen is a Danish based, international brand of hairdressing
specialists.  Founded in 2003, the brand has worked to bring change to
hairdressing through honest and sustainable craftmanship.  Shaping a new line
of styling tools and rods, the Wetline series, hair styling products, scissors
and popular Wonder Brushes, Gloss Brushes and Air Brushes, HH Simonsen
specialises in helping to style and care for hair with every stroke.  Their
focus is on quality ingredients and ergonomic design, making a difference to
consumers and stylists worldwide.

 

Nelson Law, Executive Chairman of the Company commented:

 

"We are delighted that HH Simonsen has agreed to improved terms for the final
remaining year of our current distributorship agreement.  This follows the
tremendous sales success that we have achieved with the brand in the three
territories for which we have exclusive rights.

 

"Not only does this improve our cashflow, as we previously had to pay for
merchandise prior to shipment, but importantly the foundation that we have
built for HH Simonsen in mainland China, Hong Kong, and Macau has extended
into other financial benefits for us.

 

"With post pandemic travel in Asia starting to recover in earnest, we are
seeing a concomitant positive effect on product sales for HH Simonsen and for
the other brands that we represent, the forecasts for which look increasingly
positive."

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of
the European Union (Withdrawal) Act 2018 (as amended).

 

-Ends-

 

 Enquiries:

 Sealand Capital Galaxy Limited
 Law Chung Lam Nelson, Executive Chairman  + 44 (0) 753 795 9788

Notes to Editors:

 

The Company's Shares are traded on the Official List of the London Stock
Exchange's main market for listed securities under the ticker SCGL.

 

Further information on Sealand is available on its
website  http://www.scg-ltd.com/ (http://www.scg-ltd.com/)

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