US: David's Bridal sold in $1.05bn private equity deal
Wedding dress retailer David's Bridal Inc is to be sold to private equity firm Clayton, Dubilier & Rice in a deal that values the company at $1.05bn and will see former Gap CEO Paul Pressler become its new chairman.
The retailer operates more than 300 stores across North America, and specialises in wedding gowns and special occasion dresses at affordable prices. The company has also moved its offer upmarket in recent years through an exclusive partnership with designer Vera Wang, under the White by Vera Wang brand.
"David's Bridal is a unique and well-positioned specialty retailer competing in a large and stable industry," said Richard Schnall, a partner at CD&R.
"We look forward to working closely with the company to build on its market leadership and scale advantages to grow in new market segments, channels, and geographies."
CD&R partner Kenneth Giuriceo added: "The company's strong brand awareness, exceptional service quality, deep product knowledge, and high performance levels are unmatched in the bridal customer segment and that is why we are so excited about the transaction."
The deal is expected in the fourth quarter, which is when CD&R operating partner Pressler will step into the role of chairman.
The David's Bridal chain was picked up by Federated Department Stores Inc back in 2005 as part of its acquisition of May Department Stores.
However, the business was sold to private equity firm Leonard Green & Partners for US$750m the following year as it did not fit in with the merged group's strategy to focus on the nationwide Macy's and Bloomingdale's brands.
2013 got off to a strong start for US clothing and footwear retailers in January, with many reporting their best performance since September 2011....
The following is a general roundup of US apparel and shoe retailers' January 2013 sales results....
Retailers posted mixed December sales results as many were forced to discount heavily to drive sales in the weekend prior to Christmas, in the hope of making up for weaker sales earlier in the month....
Sportswear company Sean John is to step into the footwear market after signing a licensing agreement with 2 Feet Productions to launch a collection of casual and athletic shoes....
Value apparel retailer Body Central has appointed Brian Woolf as its new chief executive officer, replacing Tom Stoltz who has served as interim CEO since August....
Iconix Brand Group, which licenses fashion and footwear labels including Candie's, Bongo, London Fog and Joe Boxer, has acquired a 51% interest in the Buffalo David Bitton brand for US$76.5m....
Macy's chief administrative officer Thomas Cole - a 41-year veteran of the company - is retiring, prompting a series of changes to the retailer's executive team....
- Under Armour on track with new UAS sportswear line
- Myanmar garment exports surged 20% in 2015
- Unravelling cotton's supply and demand challenges
- Why synthetic fibres are a safe bet for the future
- EU trade ministers push on TTIP and Canada pacts
- US retailers urge action on Hanjin Shipping crisis
- Zara launches eco-friendly Join Life collection
- Brexit may hit suppliers with UK duty-free access
- Adidas unveils first Speedfactory running shoe
- Bangladesh calls for US duty-free apparel access
- Too Many Standards
- Apparel (GLOBAL) - Industry Report
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Ralph Lauren Corporation : Retailing - Company Profile, SWOT & Financial Analysis
- Central America strategic sourcing review - a focus on Guatemala, El Salvador and Honduras