WHP Global and G-III Apparel Group, Ltd. announced the closing of the acquisition of the Marc Jacobs brand from LVMH.
Concurrently, WHP Global and G-III formed their previously announced joint venture (JV) to co-own the Marc Jacobs intellectual property and accelerate the global growth of the fashion label. At closing, G-III also acquired the Marc Jacobs operating business and entered into a long-term license with the JV.
The new JV is co-owned by WHP Global and G-III, with each party owning a 50 percent equity stake. WHP Global leads the JV, including global brand licensing, while G-III owns and leads the operating business, including wholesale, retail and e-commerce, and provides support services to the JV. Marc Jacobs will continue in his role as founder and creative director, “ensuring continuity of the brand’s creative vision, runway collections and fashion shows.”
Together, WHP Global, G-III and Marc Jacobs are focused on expanding the Marc Jacobs brand’s global reach and exploring new opportunities across markets and product categories.
“Marc Jacobs is a defining name in fashion, with powerful cultural relevance and global growth potential,” said Yehuda Shmidman, founder, chairman and CEO of WHP Global. “We want to thank LVMH for its stewardship of this brand over nearly three decades and for being a trusted partner throughout this process. Together with G-III, we have created a powerful platform that combines best-in-class brand management with exceptional operating expertise.”
“This closing marks an exciting new chapter for Marc Jacobs, a brand with a distinctive creative legacy and global reach,” said Morris Goldfarb, chairman and chief executive officer of G-III Apparel Group. “G-III brings the scale and expertise to build and grow global brands, and we look forward to working with the Marc Jacobs team and WHP Global to protect what makes the brand special while supporting its continued growth worldwide.”
Advisors
Morgan Stanley & Co. LLC served as financial advisor to WHP Global and Gibson Dunn served as legal advisor. Morgan Stanley Senior Funding, Inc. provided debt financing to support the acquisition. UBS served as financial advisor to G-III, and Paul, Weiss, Rifkind, Wharton & Garrison served as legal advisor. Barack Ferrazzano served as legal advisor to LVMH.
G-III owns 10 brands, including DKNY, Donna Karan, Karl Lagerfeld, and Vilebrequin, and licenses over 20 fashion and lifestyle labels, including Levi’s, Nautica, Champion, Halston, Converse, BCBG, and major national sports leagues.
Image courtesy Marc Jacobs
