Billabong: To Acquire California-Based Apparel Brand RVCA

SYDNEY -(Dow Jones)- Billabong International Ltd. (BBG.AU) said Monday it reached a conditional agreement to acquire apparel brand RVCA for an amount that was undisclosed because the group doesn't consider it to be material. The group recently bought West 49, prompting analysts to speculate Billabong was becoming a more store-oriented retailer. RVCA is a California-based art and design-driven brand. The bulk of RVCA's revenue is earned in the U.S. but the group is starting to expand into Australia and Europe. RVCA is expected to add 2% to Billabong's group revenue and will be per-share earnings neutral in the 2010-2011