Labelux Group has agreed to buy Jimmy Choo from its private equity owners for a reported £500m.
Killer heels made a killing this weekend, as Austrian luxury group Labelux purchased Jimmy Choo from London-based private equity firm TowerBrook Capital.
News sources reported that Labelux bought the shoe company for £500-550m, nearly three times as much as TowerBrook paid to acquire Jimmy Choo four years ago.
In a statement, Labelux said that Jimmy Choo Founder and Chief Creative Officer Tamara Mellon and CEO Josh Shulman threw their ‘full support’ behind the deal. Both executives will remain at Jimmy Choo and Mellon will take a stake in the new company.
‘My ambition for Jimmy Choo to inspire women around the world has never had any limits,’ Mellon said in a statement. ‘I am immensely proud of all we have achieved over the last fifteen years and delighted we are to be part of Labelux, a partner who I know shares our values and passion and who seeks ambitious growth in the luxury industry.
‘This is wonderful news for the women who are, or who aspire to become, part of the Jimmy Choo lifestyle.’
Labelux, a privately held luxury group based in Vienna, also owns jewellery brand Solange Azagury-Partridge and fashion labels Derek Lam and Bally.
TowerBrook explored options for the future of Jimmy Choo over the past year, at one point considering taking the company public. Although company co-founder and namesake Jimmy Choo, who sold his stake in 2001, expressed interest in buying back the brand earlier this year, TowerBrook eliminated his name from a shortlist of potential buyers last month.
Mellon founded Jimmy Choo with a £150,000 loan from her father in 1996. In 2010, the company reported net sales of £150m.
Source: Elle UK