Marc Jacobs will retain his position as creative director. This will allow the brand to avoid an abrupt change of course after the transition to new owners. In a joint statement, the companies emphasized that they expect to maintain the brand’s “creative continuity.”
LVMH has owned Marc Jacobs since 1997. Then the designer became the first creative director of Louis Vuitton and one of the key figures in the fashion industry of the late 1990s and early 2000s. For almost three decades, the brand has gone from a niche New York brand to a global fashion business with strong positions in accessories, bags and perfumes.
According to The Wall Street Journal, WHP Global and G-III are raising up to $850 million to finance the deal. Upon closing, WHP will be responsible for brand development and licenses, while G-III will be responsible for operations and distribution.
The sale of Marc Jacobs reflects a broader process within LVMH. Against the backdrop of slowing demand for luxury goods, especially in China and the US, the holding is increasingly betting on the biggest brands – Louis Vuitton, Dior and Tiffany & Co. Smaller assets are gradually receding into the background, according to the Financial Times.
For WHP Global, the purchase will be the largest investment in the premium fashion segment. The company’s portfolio already includes Vera Wang, rag & bone and G-STAR. After the deal, the total sales of brands under WHP management will exceed $9.5 billion.
