Menswear retailer Tailored Brands Inc has closed the sale of the Joseph Abboud trademarks to WHP Global for US$115m.
In conjunction with the transaction, which was first announced in January, Tailored Brands has entered into a licensing agreement with WHP for the exclusive rights to sell and rent Joseph Abboud branded apparel and related merchandise in the US and Canada.
WHP Global is a New York-based brand acquisition and management firm that also owns the Anne Klein fashion business. It said in January it intends to build the Joseph Abboud brand through international and category expansion.
Tailored Brands, meanwhile, will use sale proceeds to strengthen its balance sheet.
The company is an omni-channel speciality retailer of menswear and owns the Men’s Wearhouse, Jos A Bank, Moores Clothing for Men and K&G brands.
In August, Tailored Brands agreed to sell its corporate apparel business for $62m to a group led by the unit’s existing UK executive team.
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By GlobalDataIn its most recent third-quarter, the Fremont, California based business saw its net earnings tumble 20% to $27.8m from $34.8m a year earlier. Total net sales were down 3% to $729.5m, with comparable sales slipping 2.2%.
