Rapala VMC and Okuma Fishing Tackle have agreed that Okuma will transfer to Rapala its European and Russian trademarks and associated intangible assets against consideration of $8 million. The two companies have also agreed to conclude a supply agreement for the area. Okuma will become the flagship brand in Rapala’s current European rod and reel product portfolio. In 2021, Rapala will start selling Okuma products in selected European countries, but the large scale launch Europe-wide and in Russian will occur in 2022.
The agreement between the two companies does not affect Okuma’s operations or business outside Europe and Russia. Okuma, a Taiwan-based company, established some 30 years ago by Charles Chang, is indeed known internationally for its high-quality rods and reels. Okuma has factories and R&D centers in Taiwan and China and has fully-owned distribution companies in the U.S. and Japan. Okuma’s current sales in Europe and Russia through distributors exceed slightly €10 million at wholesale value. Rapala said that it would make “very strong marketing investments” to support the growth of the Okuma brand. Rapala will also initiate negotiations with Shimano Europe to end the distribution of Shimano branded products and joint ownership of Rapala distribution companies situated in Russia, Kazakhstan, Belarus, Czech Republic, Hungary, Romania and Croatia.
