WHP Global Buys Marc Jacobs for $1 Billion

In a significant move within the luxury fashion sector, WHP Global has agreed to acquire the iconic Marc Jacobs brand from French luxury conglomerate LVMH. This strategic divestiture, valued at approximately $1 billion, marks a new chapter for the American designer label, which has been under LVMH's ownership since 1997. The transaction is expected to finalize by the end of 2026, pending standard closing conditions.

The acquisition sees WHP Global, a prominent brand management platform backed by major private capital firms Oaktree Capital Management and Ares Management, significantly expanding its portfolio. This deal is poised to propel WHP Global's aggregated retail revenues past the $9.5 billion mark. The brand management company, established in 2019, specializes in licensing and monetizing consumer brands, already managing a diverse roster including Vera Wang, rag & bone, and G-STAR.

Further bolstering the acquisition, G-III Apparel Group, a key player in fashion brand development and distribution, will form a 50/50 joint venture with WHP Global to co-own the intellectual property of Marc Jacobs. G-III Apparel Group, known for its extensive licensing agreements with brands like Calvin Klein and Tommy Hilfiger, will subsequently acquire the global operating business from this joint venture. This partnership is anticipated to conclude by the third fiscal quarter of 2027 for G-III.

G-III Apparel Group is financing its contribution to the venture with approximately $500 million, drawing from available cash reserves and revolving credit facilities. This financial commitment underscores the substantial valuation placed on the Marc Jacobs brand. The transaction was supported by financial advisory services from UBS for G-III and Morgan Stanley for WHP Global, with legal counsel provided by Paul Weiss and Gibson Dunn, respectively. Morgan Stanley Senior Funding has committed debt financing to facilitate the acquisition.

Marc Jacobs himself will continue in his role as Creative Director, ensuring a seamless transition and maintaining the brand's distinctive creative vision. Founded in 1984 by Marc Jacobs and Robert Duffy, the New York-based fashion house has established a strong global presence across ready-to-wear, handbags, footwear, eyewear, and fragrances, becoming a recognizable name in contemporary American fashion.

For WHP Global, this acquisition represents a strategic leap into the premium fashion segment. The company's growth trajectory, fueled by investments from Oaktree Capital Management (which initially invested $200 million and later added $150 million in 2020) and Ares Management (which injected $375 million in 2023), highlights its ambition to consolidate and elevate established fashion brands. The integration of Marc Jacobs is expected to unlock new growth avenues and enhance its market position.