[ad_1]

Luxury womenswear label, Zimmermann has sold a majority stake in its company to private equity investors, Advent International, for a record-breaking sum.

Under the terms of the agreement, which was announced on Tuesday, Advent will acquire a majority shareholding in Zimmermann, purchased from former investors Style Capital, which bought a 70 per cent stake in the brand in 2020.

Style Capital will continue to have a minority shareholding in the label.

The Zimmermann family, including sisters Nicky and Simone Zimmermann who founded the brand at Sydney’s popular Paddington markets in 1991, will retain their significant minority shareholding.

Although the statement on the sale did not disclose the acquisition figure, the number was reported by the Australian Financial Review to be between $1.5bn to $1.75bn, in what would be the biggest ever valuation of an Australian fashion brand.

Advent International said it aims to further the brand’s expansion into overseas markets like Asia and Middle East, and grow Zimmermann’s product categories beyond women’s wear, accessories and shoes.

It also said the Zimmermann sisters and the label’s current management team will remain at the brand and continue to drive it “future growth”.

Advent International managing partner Ranjan Sen said he was looking forward at Zimmermann’s potential for expansion.

“The Zimmermann team have successfully created a distinctive and desirable global luxury brand, which has built a loyal customer base around the world,” he said.

“We look forward to supporting the management team around the CEO, Chris Olliver, and Nicky and Simone Zimmermann, to help build on the company’s strong foundations and deliver superior continuous growth.”

Nicky Zimmermann, who works as the label’s chief creative officer, said she was excited to partner with Advent and Style Capital.

“For us, the opportunity to work alongside so many talented and passionate people each day is a privilege and there is so much we want to achieve together. We look forward to working collaboratively with our new partners to achieve our shared ambitions for the brand, with our loyal clients at the centre of that vision.”

Zimmermann initially began as a stall in Sydney’s Paddington markets before the sisters opened their first store in the neighbouring suburb of Darlinghurst. It now operates across 58 global destinations across the USA, the UK, Europe and China.

The beloved label is among a string of fashion and beauty brands making international strides this year.

In April L’Oreal acquired skincare brand Aesop from its parent company Natura & Co for close to $US2.53bn ($AUD3.7 bn).

Just last week, tanning giant Bondi Sands was also sold to Japanese beauty giant in a deal rumoured to be about $450m.

[ad_2]

Source link

By Rahul

Leave a Reply

Your email address will not be published. Required fields are marked *