The Vancouver, Canada-based athletic clothing retailer Lululemon has decided to close down Ivivva, its children's brand. The company has, for the most part, kept that part of its business alive online, after getting rid of the vast majority of Ivivva's brick-and-mortar stores back in 2017. The seven Ivivva stores that still exist will cease being operational in the first half of 2020.
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“We’ve made the decision to close what remains of the Ivivva business in order to unlock capacity to support our long-term growth,” Celeste Burgoyne, executive vice president of Americas and global guest innovation for Lululemon, said, via CNBC. “We have forged strong relationships with an engaged community of active girls and we look forward to connecting with them through the Lululemon brand.” Lululemon started Ivivva ten years ago with apparel targeted at young girls; the company over the last couple of years has been focusing on its core business targeted at adults.
|LULU||LULULEMON ATHLETICA INC.||216.74||-0.30||-0.14%|
Ivivva aside however, Lululemon has had no shortage of success this year. Valued at a market cap of $25.19 billion dollars, the company's stock on Nasdaq is up a significant amount -- more than 50% -- in 2019 as compared to the previous year and the current analyst recommendation is to buy.
A representative for Lululemon could not be immediately reached for comment about this report.