H&G’s Bold Move: Acquires Trutex to Forge $200M Global Schoolwear Powerhouse

A Transformative Acquisition

Hancock & Gore (H&G) has taken a decisive step in reshaping its business by acquiring Trutex Group, a venerable UK-based schoolwear brand with over 150 years of heritage and a presence in more than 35 countries. The all-cash deal, valued at approximately A$26 million enterprise value, is fully funded from H&G’s balance sheet and positions the combined entity as a formidable player in the global schoolwear market.

Trutex brings to the table a robust revenue stream of around A$78 million (FY25 forecast) and an EBITDA of approximately A$4.7 million, with significant upside from identified synergies. These synergies, estimated at A$1.5 million, are expected to be realized within two years, primarily through facilities and sourcing efficiencies.

Strategic Repositioning and Brand Consolidation

The acquisition is more than just a financial transaction; it signals a strategic repositioning for H&G. The company plans to rename itself Schoolblazer Limited at its upcoming FY25 AGM, underscoring its commitment to becoming a streamlined, global schoolwear business. This rebranding aligns with the consolidation of its key brands, Schoolblazer UK, Mountcastle, and now Trutex, into a unified platform with pro-forma revenues approaching A$200 million and EBITDA around A$25 million, including synergies.

Schoolblazer Group’s e-commerce model, which delivers direct-to-consumer convenience, is a market disruptor with scalability across regions. The acquisition enhances this capability with Trutex’s strong direct-to-consumer offering and international market presence, particularly in Asia and the Middle East.

Leadership and Operational Outlook

Leadership continuity is a key feature of the deal, with Trutex’s high-calibre executive team remaining in place. Tim James, co-founder of Schoolblazer UK and H&G’s largest shareholder, will expand his role to Executive Chairman of the Schoolblazer Group, providing experienced stewardship as the group integrates and grows.

The combined group benefits from a diversified geographic footprint, with significant exposure to resilient markets such as the UK, Australia, and New Zealand, alongside emerging international markets. Long-term contracts with schools and a mix of premium and value propositions across brands create barriers to entry and a defensible market position.

Sustainability and Growth Prospects

Sustainability is embedded in the group’s operations, with Trutex recognized as a carbon-neutral business since 2012 and committed to using recycled and sustainably sourced materials. This focus aligns with growing consumer and institutional demand for responsible products.

Looking ahead, the group aims to leverage its scale and operational efficiencies to drive sustainable earnings growth. The rollout of the Schoolblazer e-commerce model into new international markets, alongside continued expansion of the Trutex brand, offers a long runway for growth. However, the timing of full integration and synergy realization remains uncertain, warranting close attention from investors.