True Religion Apparel has entered into an agreement to be acquired by TowerBrook Capital Partners in a transaction valued at approximately $835 million. Deutsche Bank, Jefferies, UBS Investment Bank and Macquarie Capital have provided committed financing to TowerBrook in support of this transaction. The transaction is expected to close in the third quarter of 2013.
True Religion Apparel designs, markets, sells and distributes denim jeans and sportswear under the brand name True Religion Brand Jeans to consumers in six continents, including North America, Europe, Asia, Australia, Africa and South America. The company sells directly to consumers in the United States through full-price retail stores, outlet stores and through its retail Internet site. True Religion was founded in December 2002 by Jeff Lubell and is headquartered in Los Angeles (www.truereligionbrandjeans.com).
“TowerBrook’s investment is an important endorsement of the True Religion brand, its prospects and the hard work and commitment of our team. At this critical inflection point in our business, global growth and product development effort, TowerBrook’s support and experience will be a true differentiator,” said Lynne Koplin, Interim Chief Executive Officer and President of True Religion. “TowerBrook’s long-term approach toward investment and brand stewardship will best enable True Religion to maintain its leadership position in the marketplace. We are confident the next chapter for True Religion will be a successful one for our employees, customers and all other stakeholders.”
TowerBrook Capital Partners makes control investments in large and middle market companies across and array of industries that are located in North America and Europe. TowerBrook has experience in the consumer retail and luxury space and has made control-oriented investments in companies such as Jimmy Choo, Odlo, BevMo! and Phase Eight. In February 2013, the firm held a first and final close of its fourth fund, TowerBrook Investors IV, L.P., at its hard cap of $3.5 billion. TowerBrook has offices in New York, London, and San Francisco (www.towerbrook.com).
“True Religion is an established, high-end brand with a strong retail network and a loyal following. We are excited to combine our retail and apparel expertise with Lynne Koplin and the True Religion team to help the company with brand building and international opportunities,” said Andrew Rolfe, Managing Director of TowerBrook.
© 2013 PEPD • Private Equity’s Leading News Magazine • 5-13-13
