Authentic Brands Group LLC said Thursday it acquired fashion brand Jones New York
a portfolio company of from Sycamore Partners. Financial terms weren’t announced. Authentic Brands is owned by Leonard Green & Partners. Jones New York, which does $1 billion in retail sales, is a brand known for providing clothes for working women. CORRECTION: Authentic Brands is buying the Jones New York brand and not the portfolio company from Sycamore. Jones New York is winding down operations this year and shutting its retail locations, a spokesman said. The story has been corrected.
NEW YORK, April 23, 2015 /PRNewswire/ — Authentic Brands Group, LLC (ABG), owner of a global portfolio of iconic fashion, sports and lifestyle, celebrity, media and entertainment brands, announced today the purchase of American fashion brand, Jones New York. The acquisition marks a new milestone in the company’s growth, propelling the ABG portfolio to more than $4.5 billion in retail sales.
“We are honored to welcome Jones New York to ABG’s distinguished Women’s portfolio,” said Jamie Salter, Chairman and CEO of ABG. “With a 40 year history of iconic and timeless design, Jones New York embodies American style. Our vision fuses ABG’s passion for brand building with a 21st century approach that will redefine this enduring classic.”
Jones New York is an esteemed American brand renown for its reputation of excellence in design, quality and style. With an active and loyal consumer following, today the brand drives close to $1B in retail sales across department stores in the US as well as key international markets including Canada, Europe, the Middle East and Latin America.
“Jones New York has a long-standing position as an iconic American brand through best-in-class licensing and retail partners,” said Nick Woodhouse, President and CMO of ABG. “We see great opportunity for this powerhouse brand and are implementing a strategy that is fueled by partnerships, innovative design, and distribution. Jones has a deep-rooted American heritage that we are excited to leverage on a global scale.”
As part of this important acquisition ABG announces the appointment of Mark Weber as Strategic Advisor whose immediate focus will be on the Jones New York brand. Weber has a storied career having been both President and CEO of PVH Corp, and most recently, served an 8-year term as CEO of LVMH, Inc. (Louis Vuitton Moet Hennessey). At LVMH, Inc. Weber was a member of the executive committee in Paris overseeing a number of businesses, most notably serving as Chairman and CEO of Donna Karan International,Thomas Pink. “I am excited to get involved with the leadership team at ABG,” said Mark Weber. “I believe my experience in the luxury fashion sector will be a valuable asset that can be leveraged across ABG’s brand portfolio.”
ABG’s initial focus for Jones New York will be the development of its strategic positioning, enhancing core values, and rebuilding the brand to its former prominence. There will be a strong emphasis on women’s apparel and accessories. Jones New York has had an important position in men’s tailored clothing, sportswear, and accessories as well, which will also play an important role in its global growth plans. ABG is preparing to announce a new long-term, strategic partner in the US and Canada for key categories that will launch at retail in spring 2016.
In January 2015, Jones New York, a portfolio company of private equity firm Sycamore Partners, announced that it was pursuing strategic alternatives for the Jones New York brand and, in conjunction with this action, is closing its retail locations and certain related business operations over the course of 2015. Terms of the sale of the Jones New York brand to ABG were not disclosed.
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