Matchesfashion.com Sells Majority Stake To Apax, Founders Keep Small Stake, CEO To Stay

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LONDONBritish luxury e-Commerce group, Matchesfashion.com has a new majority shareholder after a bidding war.

Back in July, DM Fashion Book reported the luxury fashion retailer, which started as a single bricks-and-mortar boutique before growing into a powerful global high-fashion market was readying a sale (see it here).

According to the company, private quality firm Apax Partners would take a controlling stake in the business, which the married couple Tom and Ruth Chapman founded in 1987. The Chapmans and the venture capital firms Scottish Equity Partners and Highland Europe will retain minority stakes, the company said in a statement.

Terms of the deal were not disclosed, although rival bidders that included Bain Capital, KKR and Permira were said to have reached a valuation close to 800 million pounds, or about $1 billion, for the company.

Matchesfashion.com has redefined the face of luxury commerce and become renowned globally for having the fashion point of view. The business has never been in a stronger position,” Mr. Chapman said after the sale was announced.

We are delighted that Apax Partners have taken a majority stake,” he added. “After 30 years of growing this business Ruth and I are ready to take on new challenges while remaining shareholders and taking on an advisory role.”

Mr. Chapman said the company’s current chief executive, Ulric Jerome, and chief financial officer, Fiona Greiner, would stay on with the goal of “driving Matchesfashion.com to become the number-one luxury fashion commerce company in the world.”

The Chapmans began their business as Matches, a single, high-end, multibrand boutique in London’s upscale Wimbledon neighborhood in 1987. They realized after the financial crisis in 2008 that the future of their business — and their route to global expansion — was online. The company rebranded as Matchesfashion.com in 2013, after hiring Mr. Jerome as chief executive.

Apax’s acquisition of its stake is to be finalized in the year’s fourth quarter.

Photos Credit: Drapers Online

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Donovan

Donovan is the CEO and Editor-In-Chief of www.dmfashionbook.com. For all general inquiries please email don@dmfashionbook.com Donovan has a BA in Journalism & Media Studies from the prestigious Rutgers University. He's currently studying entertainment and fashion law.