Fenix Outdoor Invests in Bulgarian Production with Maloja Partnership

The Swedish Fenix Outdoor Group is taking a significant step towards European production through a new partnership with Maloja, an outdoor clothing manufacturer. Fenix Outdoor, known for brands like Hanwag, Fjällräven, Tierra, and Royal Robbins, will partially acquire Maloja's Bulgarian production subsidiary, Viomoda.

Fenix Outdoor has the option to purchase up to 49 percent of Viomoda, marking a pivotal move towards establishing a stronger production presence in Europe. "This partnership enhances our competitiveness by increasing production flexibility, reducing lead times, and minimizing transport distances to our major markets, which translates to better delivery times and lower CO2 emissions," states the Fenix Outdoor announcement. Martin Axelhed, Executive Vice President of the Group, adds, "It's been a long journey to reach this point, but we're thrilled with the outcome. Maloja is the ideal partner for our European production ambitions. This is the first step in our strategy to produce 20 percent of our clothing in-house. Building this partnership with the potential for growth is a win-win for everyone involved, including our customers."

Viomoda's production facility is located in Plovdiv, Bulgaria, with its official headquarters in Dornbirn/Vorarlberg, led by CEO Sven Köhler. Maloja fully acquired the facility nearly four years ago, and with Fenix Outdoor's entry, the ownership structure will change once again. Despite this shift, the transaction is not expected to significantly impact Fenix Outdoor's consolidated balance sheet.

This strategic investment underscores Fenix Outdoor's commitment to enhancing its production capabilities and sustainability efforts within Europe.