Zegna Group Acquires Majority Stake of Thom Browne
The Ermenegildo Zegna Group announced that it has reached an agreement with Sandbridge Capital and with Mr. Thom Browne, for the acquisition of 85% of Thom Browne Inc, for an enterprise valuation of approximately half
The Ermenegildo Zegna Group announced that it has reached an agreement with Sandbridge Capital and with Mr. Thom Browne, for the acquisition of 85% of Thom Browne Inc, for an enterprise valuation of approximately half a billion dollars. Mr. Thom Browne will be the sole other shareholder, with the balance of the Company’s shares.
The Thom Browne business will remain independently run, in order to pursue and accelerate the strong and profitable growth trajectory that the brand has seen over the past several years. As such, Mr. Thom Browne will continue in the same capacity as Chief Creative Officer and Rodrigo Bazan will retain his role as Chief Executive Officer.
Ermenegildo Zegna, Chief Executive Officer of the Zegna Group said: “As global leaders in luxury menswear, we have always been open to opportunities for external growth. And, since we started looking at partnerships, I always knew that Thom Browne would be the perfect fit.”
“In addition to the immediate benefits with regards to fabrics and manufacturing support we can leverage our global reach to further expand Thom Browne’s retail network. Most importantly, we share the same passion for excellence and impeccable, modern tailoring. Thom’s visionary approach and his unique point of view have enabled him to build and nurture the most loyal clientele. On this strong footing, and thanks to a thriving women’s business and strong appeal with millennials, we believe that we can build long-term value for all of our stakeholders.”
Thom Browne, Founder and Chief Creative Officer said: “I am very proud and excited for my new partnership with Zegna. I feel that their passion for only the best quality and craftsmanship is very much aligned with how I have always approached my collections, my conceptual approach to design and the long-term vision of growing a true luxury design-led collection for men and women is something we both feel strongly about as the future strength of Thom Browne. With Zegna, Thom Browne will have a partner who not only understands the fundamentals of this business, but truly embodies them and brings the knowledge and skills of a global leader.”