Apparel licensee makes minority investment in fashion brand’s parent company.
G-III Apparel Group has taken a 19 percent minority stake in the parent company of the Karl Lagerfeld fashion brand.
The investment will strengthen the partnership between G-III and Karl Lagerfeld, as well as extend business development opportunities on a global scale.
Additional terms of the deal were not disclosed.
G-III also owns a 49 percent interest in the North American joint venture that holds the rights to the Karl Lagerfeld trademarks for consumer products (with exceptions) and apparel in the U.S., Canada and Mexico. The apparel company is also a licensee of the joint venture for the brand’s women’s apparel, handbags and men’s outerwear.
“We are very pleased to increase our strategic and financial commitment to Karl Lagerfeld, a true iconic fashion brand,” says Morris Goldfarg, chairman, chief executive officer and president, G-III. “We are proud to have been able to acquire these opportunities as a result of our market knowledge, category expertise and strong operational platform. Now, with our expanded partnership in Karl Lagerfeld, we look forward to helping chart its course forward and captivating a generation of new consumers around the world.”
“We are very excited to bring out partnership with G-III to the next level,” says Pier Paolo Righi, chief executive officer and president, Karl Lagerfeld. “The alliance with this industry leader will substantially enhance our ability to pursue many important strategic opportunities and further propel the brand and business. This is another major milestone for our company.”