Kohlberg Kravis Roberts & Co. has signed an agreement to acquire Sandro, Maje and Claudie Pierlot (SMCP), a luxury apparel retailer, from L Capital and Florac, which originally acquired the company in November 2010. KKR will own approximately 65% of the company with management retaining approximately 35%.
“SMCP is a remarkable business with an outstanding management team. The company has developed strong French brands with international appeal, and high quality products at affordable prices that meet the needs of consumers around the world. We are pleased to support the team in their growth strategy,” said Jacques Garaïalde, Partner and Managing Director in charge of KKR’s French operations.
SMCP Group is an apparel retailing group operating in the affordable luxury apparel segment. Products are sold under four brands: Sandro, Sandro Men, Maje and Claudie Pierlot. The company operates 570 stores in Europe, the US and Asia. Approximately 150 new store openings are planned for 2013, mainly outside France. Total revenues for 2012 were €350 million. The company is based in Paris (www.sandro-paris.com) (www.maje-paris.com).
“We are excited to partner with KKR”, said Frédéric Biousse, the CEO of SMCP Group. “We are proud of the company’s strong development over the recent years and would like to thank our shareholders L Capital and Florac for their support. We look forward to working with KKR as we accelerate the international expansion of our brands, particularly in the United States and Asia. KKR’s global presence and extensive experience and track-record in the international retail sector will be important assets in helping us continue our growth trajectory”.
KKR makes private equity, fixed income and other investments in companies in North America, Europe, Asia and the Middle East. The firm has $66 billion in assets under management. In addition to its New York headquarters the firm has offices in Menlo Park, San Francisco, Houston, Washington DC, London, Paris, Hong Kong, Tokyo, Beijing, Mumbai, Dubai and Sydney (www.kkr.com).
“We are delighted to have accompanied SMCP Group during the last couple of years of rapid development and we wish the managers, founders and KKR much success”, said Daniel Piette and Eduardo Velasco from L Capital and Léopold Meyer from Florac.
L Capital is sponsored by the LVMH Group and Groupe Arnault. Sectors of interest include personal care and well-being, personal equipment, home & family equipment, and selective retailing. The firm was founded in 2001 and is headquartered in Paris with additional offices in Milan and Madrid (www.lcapital.eu).
Florac is an investment fund created and managed by Marie-Jeanne Meyer, shareholder and former managing director of the Louis Dreyfus Group. The firm was founded in 2009 and is based in Paris (www.florac.eu).
KKR was advised by Rothschild & Cie and SMCP was advised by J.P. Morgan and Leonardo & Co.
© 2013 PEPD • Private Equity’s Leading News Magazine • 4-19-13