Australia : Gazal sells European Mambo rights to Blacks

Following on from the Mambo Brand strategic review announced earlier this year, Gazal Corporation is pleased to announce the sale of the Mambo trademarks and all intellectual property rights for the European Union to Blacks Leisure Group plc (Blacks), the acquisition price being £1 million or A$2.3 million equivalent.
Blacks is the leading outdoor and boardwear retailer in the UK operating through four fascias, namely Blacks, Millets, Freespirit and O’Neill.
In August 2006, Gazal entered into a five year license agreement with Blacks for the Mambo brand in the UK and Europe.
Based on the successful operation of the license since commencement and based on Blacks continued belief that Mambo is a great brand with real potential to grow strongly both in the UK and mainland Europe, Blacks made an offer for the European trademarks which Gazal has determined reflects the fair value of the brand for this part of the world.
In relation to the Mambo Australian trademarks and other international Mambo trademarks excluding Europe, Gazal has received good interest from other parties and negotiations are progressing. The identity of interested parties and negotiations are subject to confidentiality agreements.
We expect to be in a position to inform shareholders of the outcome of this process by the time of the annual general meeting on 29th November 2007, if not sooner.
Gazal Corporation Limited is one of the largest publicly listed branded apparel companies in Australia.
Based in Sydney and listed on the Australian Stock Exchange, the company specialises in developing and building national and international brands in the apparel and fashion accessories industry.