Surfwear specialist Billabong International has expanded its girls' business with the acquisition of swimwear and apparel brand Tigerlily for an undisclosed sum.

The Australian company has bought the business from founder and ex-model Jodhi Meares, who is to remain with the company in an "active creative role".

Billabong CEO Derek O'Neill said Tigerlily was the company's first acquisition focusing exclusively on the girls market.

"We have been seeking to expand our girls' business and Tigerlily, with its accent on swim, is very complementary to our Billabong Girls brand," he said. "It is a brand with a strong profile and market acceptance.

"We plan to retain its immediate focus on the Australian market and, over time, we will explore opportunities in other territories."

Meares said the deal represented an "entirely appropriate fit", adding that Billabong would help to fast-track Tigerlily's domestic growth.

Billabong is expecting the Tigerlily business to be earnings per share positive during its first full year in the group, contributing less than 1% of group sales.