Is Ermenegildo Zegna Group on track to build the next fashion empire? The Italian company announces an agreement with Sandbridge Capital and Thom Browne for the acquisition of 85% of Thom Browne Inc, for an enterprise valuation of approximately half a billion dollars.
Browne retains the rest of the company as its other sole shareholder.
Ermenegildo Zegna Group chief executive officer Ermenegildo Zegna shares, 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.
Zegna continues, 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.
He adds, Finally, I am very proud to oversee a rare major investment by an Italian luxury player in an American company. I have always been a strong admirer of the United States, and look forward to our strengthened presence here.
Meanwhile, designer Thom Browne says, 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.
