Sycamore Partners has completed the acquisition of The Talbots in a transaction valued at approximately $391 million. In tandem with the close, Sycamore has appointed a new executive team to lead the company under its ownership.
“We are pleased to have completed this acquisition and are ready to deliver on the promise of executing on the significant potential inherent in Talbots, which remains a premier, storied brand,” said Stefan Kaluzny, a Managing Director of Sycamore Partners. “Building on its 65 years of history, we will restore the Talbots brand and the company’s heritage as a leading retailer of traditional women’s apparel, shoes and accessories. We are looking forward to what we know will be a long and successful partnership.”
Talbots is a specialty retailer and direct marketer of women’s apparel, shoes and accessories. The company operates 516 Talbots stores in the US and Canada. Its direct marketing operation circulated 15 Talbots brand catalogs in 2011 reaching a worldwide circulation of approximately 41 million. The company was founded in 1947 and is based in Hingham, MA (www.talbots.com).
The new senior executive team at Talbots has considerable experience in merchandising, marketing, finance and operations. Michael Archbold, previously President and Chief Operating Officer of the Vitamin Shoppe, has been named Chief Executive Officer and Chief Financial Officer. “We could not have a better partner than the team at Sycamore. Their knowledge of the retail sector is unparalleled,” said Mr. Archbold.
Other executives joining the new Talbot’s team include Lizanne Kindler, previously Executive Vice President of Product Development at Kohl’s Department Stores, who has been named President. As a former Executive Vice President of Merchandising at Talbots, she will be responsible for product development, merchandising and marketing; and Michele Mandell, a 26-year veteran of Talbots and formerly the Executive Vice President of Stores at the company, has been appointed Chief Operating Officer.
“Talbots is a classic, American fashion retail brand with a strong foundation and an iconic reputation in women’s retail,” said Mr. Archbold. “By restoring the company’s focus on Talbots’ classic styling, we will be able to reconnect with the company’s historical customer base. Lizanne, Michele and I look forward to working closely with the other members of the Talbots’ leadership team and the company’s more than 8,000 committed and hard-working associates to re-establish the brand as the category leader.”
Sycamore Partners is a private equity firm based in New York specializing in consumer and retail investments. The firm has more than $1 billion in capital under management (www.sycamorepartners.com).
Perella Weinberg Partners acted as financial advisor to Talbots and White & Case acted as its legal counsel. Bank of America Merrill Lynch acted as financial advisor to Sycamore Partners and Winston & Strawn and the Law Offices of Gary M. Holihan, P.C. acted as its legal counsel.