Authentic Brands Group reported it agreed with Vince Holding Corp. (VNCE) to acquire the fashion brand’s intellectual property for an undisclosed amount.
Through the agreement, VNCE will contribute its intellectual property to a newly formed Authentic subsidiary, ABG Vince, of which Authentic will own a 75 percent majority stake, while VNCE retains 25 percent ownership.
In connection with the transaction, Vince Holding Corp. will also enter into a long-term licensing agreement with Authentic to operate VNCE’s existing business consistent with its current wholesale, retail and e-commerce operations.
“We are pleased to bring this luxury lifestyle brand into the fold and partner with the Vince management team on the brand’s next phase of growth,” said Jamie Salter, founder, chairman and CEO of Authentic. “The addition of Vince strategically expands Authentic’s portfolio of globally renowned luxe brands. We see significant opportunities to expand Vince’s offerings to meet the growing demand for premium and luxury goods around the world.”
Vince, founded over two decades ago, sells women’s and men’s ready-to-wear, footwear and accessories through its 60-plus retail stores, wholesale accounts, a newly re-platformed e-commerce site, and rental subscription service.
“We are pleased to partner with Authentic and unlock the great potential there is for the Vince brand,” said Jack Schwefel, CEO of Vince Holding Corp. “I’m very proud of the work we have done to build Vince over the last 20 years and thrilled to focus on our strategic growth initiatives, including strengthening our operations and expanding our men’s offerings and international presence. We are confident that with Authentic’s proven know-how in brand building combined with our design and distribution expertise, Vince is poised for long-term growth.”
The transactions are subject to customary closing conditions and expected to close within 30 days.
Katten Muchin Rosenman LLP is serving as legal advisor to Authentic. Solomon Partners is serving as financial advisor and Ropes & Gray LLP is serving as legal advisor to Vince Holding Corp.
Authentic’s brand portfolio includes Marilyn Monroe, Elvis Presley, Muhammad Ali, Shaquille O’Neal, David Beckham, Dr. J, Greg Norman, Neil Lane, Thalia, Sports Illustrated, Reebok, Brooks Brothers, Barneys New York, Judith Leiber, Ted Baker, Hervé Léger, Hickey Freeman, Vince*, Frye, Nautica, Juicy Couture, Vince Camuto, Lucky Brand, Aéropostale, Forever 21, Nine West, Eddie Bauer, Spyder, Volcom, Quiksilver*, Billabong*, Roxy*, DC Shoes*, RVCA*, Element*, Shark, Tretorn, Prince, Airwalk, Izod, Jones New York, Van Heusen, Hart Schaffner Marx, Arrow and Thomasville.
*Pending acquisitions in Q3 2023.
