British private equity firm Lion Capital LLP has confirmed that it has completed the acquisition of Los Angeles high-end jeans brand Paige Denim in mid-September, ending the latter's nearly two-year sell-off process.
As early as 2015, the market has heard news that in July 2012 holding Paige Denim's private equity firm TSG Consumer Partners LLC hired investment bank to sell for sale, when Reuters news source said Paige Denim's valuation of up to 400 million US dollars, Or 12x EBITDA.
Now, WWD invites informed sources that Lion Capital LLP's deal only gives Paige Denim worth $ 150 million worth only 7.5 times the brand's annual EBITDA $ 20 million.
Consumer research firm NPD Group Inc. data show that the cowboy industry after the past few years with the rise of casual sportswear and downhill after the start has rebounded in the first 12 months of June 2016, the United States male and female Denim apparel sales rose 2% to nearly 13 billion US dollars, of which sales of women's products recorded a 4% rise, but many founded in Los Angeles, senior high-end brand is still struggling, July 6 this year, set up for 15 years True Religion Apparel Inc. filed for bankruptcy protection, and although its owner, Towerbrook Capital Partners LP and other creditors, agreed to cut most of the $ 350 million in debt, the brand still had to close 27 of the 140 stores, Towerbrook Capital Partners LP spent $ 824 million privatized the True Religion Apparel Inc., which was then listed on NASDAQ, at a premium of 9%.
Last year, Seven For All Mankind was only able to sell Delta Galil Industries Ltd. (TLV: DELT) to Israel for $ 120 million by VF Corp. (NYSE: VF) Wealth Group and two other brands. The
On the other side, J Brand, currently owned by Uniqlo's parent company, Fast Fast Retailing Co. Ltd. (9983.T), is also unable to create profits for the Group, and even if Paige Denim is profitable, People have not reached the target set.
Paige Denim was founded by Paige Adams-Geller in conjunction with Michael Geller and Michael Henschel in 2004. Paige Adams-Geller is the only company in the high-end jeans industry with more than ten years of experience with several high-end jeans designer brands Paige Denim has launched a non-cowboy category such as women's, men's, maternity, small series and knitting, coats and dresses. There are currently 8 separate stores in the brand, Also available at Intermix, Bergdorf Goodman, Harvey Nichols, Printemps and other luxury department stores and retailers as well as luxury goods such as Net-a-Porter and Farfetch.
In July 2012, Paige Denim was awarded TSG Consumer Partners LLC, a private equity firm focused on high-growth consumer brand investment. TSG Consumer Partners LLC's brand portfolio includes the already listed cheap makeup brand elfBeauty Inc. (NYSE: ELF) and fashion Electrician Revolve et al.
Lion Capital LLP has invested in American Apparel, Jimmy Choo and La Senza, and the current portfolio includes AllSaints, John Varvatos, footwear brand Buscemi and American brand management company Authentic Brands Group LLP and other apparel industry enterprises Paige Adams- Geller will continue to create the brand's future with Lion Capital LLP.
