Ralph Lauren plans to sell its Club Monaco label to Beverly Hills, Calif.-based private equity firm Regent. The arrangement is anticipated to close by June’s conclusion at the latest, according to an announcement.
“Club Monaco is a beloved brand with a modern style, loyal customer base and long runway for growth,” Regent Chairman Michael Reinstein said in the announcement. “We see tremendous opportunity for Club Monaco and are excited to leverage our retail and eCommerce expertise to build upon the strong brand that the Ralph Lauren team built over two decades of stewardship.”
Ralph Lauren unveiled a “Fiscal 2021 Strategic Realignment Plan” back in 2020 that would speed up the firm’s “Next Great Chapter Plan.” An evaluation of the company’s collection of brands was a part of the realignment, which included a concentration on making sure that the company’s core brands are well set for sustainable expansion, according to the announcement.
Club Monaco’s sale to Regent, in addition with the licensing of the Chaps brand in 2020, wraps up the portfolio evaluation, according to the announcement.
“We are confident that Regent is the right home for Club Monaco to realize its full potential, as they will be able to leverage their strategic and operational expertise to continue Club Monaco’s growth,” Ralph Lauren President and Chief Executive Officer Patrice Louvet said in the announcement.
Ralph Lauren is a designer, marketer and distributor of lifestyle merchandise in shoes & accessories, clothing, home, hospitality and fragrances. Its brand names include Club Monaco, Chaps, Polo Ralph Lauren, Lauren Ralph Lauren, and Ralph Lauren, among others.
In separate news, L Brands’ board of directors recently unanimously provided the green light to a plan to divide the firm up into two public and independent companies: Bath & Body Works and Victoria’s Secret. Management said the company expects the separation to occur through a “tax-free spin-off” to L Brands investors.
May 14, 2021 at 03:22PM