Australian luxury fashion label Zimmermann has been taken over by global private equity firm Advent International, which will hold a majority stake in the global brand.
Media sources indicate Advent made an unsolicited offer of AU$1.75 billion as part of the acquisition.
Advent will become majority shareholder, taking over Italian financial institution Style Capital. Style Capital and the Zimmermann family will retain a significant minority shareholding, and will not affect the current management team or oversight by the founders.
Advent International managing partner Ranjan Sen has confirmed growth plans for the designer womenswear label are underway.
“Zimmermann presents a rare and exciting opportunity to acquire a fast-growing iconic luxury fashion brand with significant potential for further expansion,” Sen said. “The Zimmermann team have successfully created a distinctive and desirable global luxury brand, which has built a loyal customer base around the world.
“We look forward to supporting the management team around the CEO, Chris Olliver, and Nicky and Simone Zimmermann, to help build on the company’s strong foundations and deliver superior continuous growth.”
According to Advent, the investment will enable Zimmermann to scale its 30+ year legacy, by accelerating the brand’s international expansion in existing and new key luxury markets, such as Asia and the Middle East, to further grow its product categories and accessories, and strengthen its online and omnichannel presence.
Advent noted it will leverage its experience within the consumer sector to drive Zimmermann’s growth. Advent recently signed investment in Parfums de Marly and INITIO Parfums Privés, as well as investments in specialist retailer Douglas, cosmetic group Orveon, and Lululemon.
“We are really excited to partner with the teams at Advent and Style Capital as we continue on our journey to build a unique global luxury brand from Australia,” co-founder and chief creative officer Nicky Zimmermann said. “There are so many exciting opportunities for Zimmermann ahead and Simone and I feel extremely fortunate to be going on this journey with our team, one that started nearly 30 years ago at Paddington Markets in Sydney.
“For us, the opportunity to work alongside so many talented and passionate people each day is a privilege and there is so much we want to achieve together.
“We look forward to working collaboratively with our new partners to achieve our shared ambitions for the brand, with our loyal clients at the centre of that vision.”
Style Capital CEO Roberta Benaglia said she and her team will continue to support the Zimmermann team as minority shareholder.
“Early in our conversations with the Advent team, it became clear that they recognised the considerable potential within the brand and shared a common vision for further expansion over the long-term,” Benaglia said.
Zimmermann operates 58 standalone stores across Australia, United States, United Kingdom, Europe and China, and a global online eCommerce platform. The brand also maintains a selective presence in department stores globally, along with independent and online luxury fashion retailers.