JCPenney and the Sparc Group have combined to form a new organization, Catalyst Brands, creating a portfolio of six retail banners “celebrating American style.” Catalyst Brands combines Sparc Group brands Aéropostale, Brooks Brothers, Eddie Bauer, Lucky Brand, and Nautica with JCPenney and its private label brands, Stafford, Arizona and Liz Claiborne.

Catalyst Brands reports “having over 60 million customers over the past three years and has broad consumer reach through a robust distribution network of owned stores, e-commerce sites and wholesale partners.”

Catalyst Brands Business Details and Ownership
Catalyst Brands launched with “over $9 billion in revenue, 1,800 stores 60,000 employees, and $1 billion of liquidity.” The combined Catalyst Brands organization is a joint venture formed in an all-equity transaction between JCPenney and the Sparc Group, with shareholders Simon Property Group, Brookfield Corporation, Authentic Brands Group, and Shein.

Catalyst Brands has also sold its Reebok U.S. operations and is exploring strategic options for the operations of Forever 21.

Leadership and Organizational Structure
Marc Rosen, formerly JCPenney’s CEO, is now the CEO of Catalyst Brands. Three brand CEOs will oversee the portfolio and report to Rosen.

  • Michelle Wlazlo, formerly JCPenney’s chief merchandising and supply chain officer, was promoted to brand CEO of JCPenney.
  • Natalie Levy continues as brand CEO of Aéropostale, Lucky Brand and Nautica.
  • Ken Ohashi will continue leading Brooks Brothers and has assumed responsibility for Eddie Bauer in his new role as brand CEO of both brands.
  • Kevin Harper, formerly an executive with Walmart, will join Catalyst Brands as chief operating officer.
  • Marisa Thalberg, formerly the consulting chief marketing and brand officer of JCPenney, has become the chief customer and marketing officer of Catalyst Brands.
  • Go Here to find additional leadership appointments.

Catalyst Brands Proposition
“Catalyst Brands brings together the rich heritage of six unique brands with modern energy and a new vision for success. The word ‘catalyst’ reflects our drive to accelerate innovation and energy and amplify the impact of this powerhouse portfolio. Together, we bring scale, expertise and broad appeal to customers across America,” Rosen said. “For us, customers are at the heart of what we do. We have a shared belief that customers deserve fashion and style of great quality for any and every moment in life.”

He said the company will leverage its resources and “best-in-class industry talent” to grow our brands further.

“With offerings that include business and formal fashion from Brooks Brothers, casual apparel for teens and young adults from Aéropostale, outdoor recreation clothing and gear from Eddie Bauer to everyday wear from JCPenney, Catalyst Brands has an expansive reach across market and customer segments,” the new company said in a media release.

Catalyst Brands said it will integrate complementary strengths, including product design and sourcing capabilities, supplier relationships and a growing data-driven and AI platform to enhance its supply chain and inventory management capabilities.

“Our relationships with more than 60 million customers and the deep data we have create a compelling consumer value proposition across our brands. We can design a more personalized shopping experience, offer unified loyalty and credit card programs, and, ultimately, cross-sell more effectively. That’s one example of the many benefits we’ll see in this combination,” continued Rosen. “With a clean balance sheet, we’re in great position to move forward.”

Catalyst Brands has its headquarters within JCPenney’s corporate headquarters in Plano, TX. It also has offices in New York, Los Angeles, and Seattle.

JCPenney has 50,000 employees, with over 650 stores in the U.S. and Puerto Rico. In 2022, the retailer celebrated its 120th Anniversary.

Sparc Group operates retail stores, shop-in-shops, and eCommerce platforms in the U.S. while supporting wholesale accounts across North America, South America, Europe, and Asia Pacific. The Catalyst Brands transaction does not affect the intellectual property owned by Authentic Brands Group, which Sparc Group licenses (Aéropostale, Brooks Brothers, Eddie Bauer, Forever 21, Lucky Brand, and Nautica).

Image courtesy Catalyst Brands