A Group of Investors Led by Reed Krakoff Announced Today They Have Closed on the Purchase of the Reed Krakoff Business from Coach
NEW YORK--(BUSINESS WIRE)-- Reed Krakoff with a group of world-class growth investors including Mark Ein, founder and CEO of Venturehouse Group LLC, Mitchell Rales, Co-Founder of Danaher Corporation and certain funds managed by T. Rowe Price Associates, Inc., including T.Rowe Price New Horizons Fund, announced today that they have acquired the Reed Krakoff business from Coach, Inc., in a management-led buyout. Under the terms of this transaction, Krakoff will be the largest shareholder as well as Creative Director of his eponymous brand.
Members of the investor group bring a combination of extensive track records in growing global businesses or investing in leading growth companies. They will provide significant funds to finance the long term growth of the global luxury brand based in America under Reed Krakoff's creative control. Coach will remain as a minority shareholder. Valerie Hermann will continue in her role as CEO and will oversee all operations as well as the transition out of Coach, Inc. Mark Ein will serve as the Chairman of the Company.
"I am delighted to enter this new phase of the development of the Reed Krakoff business with such great partners. We have all come together with the same long term vision for the brand and for the future of American luxury and are excited to build a great company together," said Reed Krakoff.
"Our investor group is thrilled to use our capital and extensive growth company experience to help Reed continue to build the next great American luxury brand," said Mark Ein.
About Reed Krakoff
Graphic, sculptural and born from a unique vision of modern style, the Reed Krakoff Collection debuted in February 2010. The brand is marked by a new approach to design, where luxury and utility are interpreted across a full line of ready-to-wear, handbags and accessories. Krakoff's mission is to redefine American sportswear, marrying function and ease with the dynamism and vitality of contemporary visual culture. In three years the Reed Krakoff Collection has developed into a global brand distributed in 120 doors worldwide. Fashion designer, acclaimed photographer, passionate collector and patron of the arts, Reed Krakoff is creative director of the Reed Krakoff Collection. Drawing from over twenty years of experience designing for iconic American houses, Krakoff has elevated his New York-based label into a global brand. He has been honored as CFDA accessory designer of the year three times, most recently in 2012.
About the Investor Group
Mark Ein, an investor, entrepreneur and philanthropist, has built a series of growth companies across diverse industries over the course of his 21-year career. He has been a founder or early investor in five companies that have reached $1 billion or greater valuations. A native of the DC area, Mr. Ein actively supports many community, cultural and charitable organizations, and has been named Business Leader of the Year by the Washington DC Chamber of Commerce. Mitchell Rales is the Co-Founder and Chairman of the Executive Committee of Danaher Corporation (NYS: DHR) , Co-Founder and Chairman of the Board of Colfax Corporation (NYS: CFX) and founder of Glenstone, a museum located on approximately 200 acres outside Washington D.C. that seamlessly integrates art, architecture, and landscape.
The T. Rowe Price New Horizons Fund, managed by portfolio manager Henry Ellenbogen, is a $13.4 billion mutual fund that is one of the oldest and largest small cap funds in the US. The fund has previously invested in private companies such as Twitter, Michael Kors and Workday.
Pierre Rougier, 212.228.8181
KEYWORDS: United States North America New York
The article A Group of Investors Led by Reed Krakoff Announced Today They Have Closed on the Purchase of the Reed Krakoff Business from Coach originally appeared on Fool.com.Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.