Yue Yuen is moving beyond footwear and apparel and into bags and accessories. The Taiwan based manufacturer has acquired a 30% stake in Prosperous Industrial Holdings Limited, an OEM/ODM manufacturer of sports bags, luggage, golf bags, hand bags and travel accessories. The $20 million deal also included an option to acquire an additional 10% stake in PIHL.

The PIHL group has been producing sports bags for brands like adidas, Jansport, Timberland, and Eastpak over 30 years. Its main office is in Taiwan with production based in China. PIHL sales were $64.6 million for the 2003 fiscal year.

Yue Yuen Executive Director, Edward Ku said that his company, “…will actively participate in and contribute to the newly invested company through its expertise in production management and logistics operation as well as its well-established customer connections.” Yue Yuen’s current customer base includes Nike, adidas, Reebok, New Balance, Asics, Timberland and Rockport.