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Linmark to expand European operations

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Textile trader Linmark Group will expand its European business to tap the opportunities generated by the strong euro and British pound.

Chief executive Steven Feniger said the move was also in line with the company's geographical diversification strategy to minimise risks of over-reliance on certain markets.

'It is clear that there will be safeguard measures [by the United States] against Chinese textile and apparels during 2005 to 2009 when the business will become increasingly complicated,' said Mr Feniger.

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Linmark derived 40.6 per cent of its revenue from the United States and 22.4 per cent from Canada in the six months to October.

European sales contributed 8.9 per cent of its turnover, while Hong Kong and other countries accounted for 28.1 per cent.

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Last month, the company agreed to spend up to $226.6 million to acquire Tamarind, an integrated sourcing services provider, which is headquartered in Hong Kong and has offices in the mainland and the Philippines.

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