(Yicai) Oct. 11 -- Leading Chinese down jacket maker Bosideng International Holdings has acquired a more than 30 percent stake in Moose Knuckles, aiming to further expand the Canadian luxury outerwear brand’s presence in the global premium market segment.

With the new funding and the backing of the majority investor group led by Cathay Capital, Moose Knuckles is set to hasten its development as a major international outwear brand, the Paris-based private equity firm said in a statement on Oct. 9. The size of the deal was not disclosed.

A Cathay Capital-led consortium acquired Moose Knuckles in 2019, accelerating the brand’s international expansion. It has 26 stores in North America, Europe, and China, and its down jackets are priced at between USD1,000 and USD1,500 each, according to the company’s website.

“Bosideng will provide substantial strategic and financial support to Moose Knuckles,” founder Gao Dekang was quoted as saying in the statement. “This is a strategic cooperation with complementary advantages that will inject new momentum into the mid-to-long-term development of both Moose Knuckles and Bosideng.”

The Hong Kong-based company has been steadily transforming into a high-end brand, with its average product price increasing to over CNY1,800 (USD255) in 2021 from about CNY1,000 in 2018, according to a report by Dongxing Securities.

Most Bosideng products are priced at between CNY1,000 and CNY3,000, but the firm will continue to release more items priced at more than CNY3,000, executives said on an earnings conference call last November.

In the fiscal year ended March 31, Bosideng posted a net profit of CNY3.1 billion (USD438.4 million), up 44 percent on the prior year. Revenue jumped 38 percent to CNY23.2 billion (USD3.3 billion) in the period.

Shares of Bosideng [HKG: 3998] finished 6 percent higher at HKD4.96 (64 US cents) apiece in Hong Kong today, bringing its gain so far this year to 41 percent. The benchmark Hang Seng Index added 3 percent today.

Editors: Dou Shicong, Futura Costaglione