Sycamore Partners has completed its acquisition of The Jones Group at an enterprise value of at approximately $2.2 billion.
“We are excited to have finalized the acquisition of The Jones Group and are confident this will be a long and successful partnership,” said Stefan Kaluzny, a Managing Director of Sycamore Partners. “We look forward to working with The Jones Group team to continue to grow this outstanding portfolio of businesses and brands and create exceptional products for our customers.”
The Jones Group is a designer, marketer and wholesaler of over 35 brands in the apparel, footwear, jeanswear, jewelry and handbag markets. The company markets directly to consumers through branded specialty retail and outlet stores, through concessions at upscale department stores and through its e-commerce sites. The company’s brands and licensing agreements are extensive and include: Nine West, Anne Klein, Easy Spirit, Bandolino, Enzo Angiolini, Givenchy, Gloria Vanderbilt, l.e.i., Jessica Simpson, Jones New York, Kasper, Stuart Weitzman and Kurt Geiger. The Jones Group is headquartered in New York (www.jonesgroupinc.com).
“We are very pleased to have completed this transaction, which delivers meaningful value to all of our shareholders. Sycamore Partners’ extensive knowledge and expertise in the consumer and retail space will allow The Jones Group’s brands to reach their full potential and continue to resonate with our loyal customers,” said Wesley Card, The Jones Group Chief Executive Officer.
Sycamore specializes in consumer and retail-related investments and its strategy is to partner with established management teams to improve the operating performance of their businesses. The firm raised its first fund in 2011 and has more than $1 billion of capital under management. The Jones Group transaction is the fifth investment by Sycamore Partners. Previous transactions include the acquisition of a controlling interest in MGF Sourcing from L Brands; the formation of Pathlight Capital; the acquisition of The Talbots; and the acquisition of Hot Topic. Sycamore Partners is based in New York (www.sycamorepartners.com).
Morgan Stanley, Jefferies, KKR Asset Management, MCS Capital Markets, Wells Fargo Capital Finance and Bank of America Merrill Lynch provided financing for the transaction. BofA Merrill Lynch and Guggenheim Securities acted as financial advisors to Sycamore Partners.
Citigroup Global Markets acted as financial advisor to The Jones Group and Peter J. Solomon Company acted as financial advisor to the company’s Board of Directors.
© 2014 PEPD • Private Equity’s Leading News Magazine • 4-9-14
