Mambo sold to US firm

Surfwear business Mambo has been sold to US-based Saban Brands, owner of the Paul Frank label, for an undisclosed sum.

The Mambo figurines at the closing ceremony of the Olympics held at Homebush stadium. (AAP)

Famous Australian surfwear brand Mambo has been snapped up by a US-based clothing group.

Saban Brands, which owns the Paul Frank and Macbeth fashion labels, has bought Mambo from its Australian owners for an undisclosed sum.

Mambo was founded in Sydney in 1984 by Dare Jennings and Andrew Rich and has developed a cult following for its often irreverent and colourful designs by artists like former Mental As Anything guitarist Reg Mombassa.

The company also designed the Australian Olympic team uniforms for the 2000 Olympics.

Mambo was bought by listed clothing group Gazal in 2001 before being sold to a consortium headed by current managing director Angus Kingsmill in 2008.

In a statement, Saban said it planned to expand the Mambo brand both in Australia and overseas.

"As an Australian brand with a unique art-driven aesthetic, Mambo will play a significant role in our international growth strategy both in Australia and around the world," Saban Brands' managing director of strategic business development Dan Castle said.