WHP Global, a leading New York-based firm that obtains global consumer brands and capitalizes in high-growth distribution channels, has recently announced that it has entered into an agreement with Xcel Brands for the acquisition of a 70% share in fashion brand Isaac Mizrahi.
The transaction, valued at $68 million, includes $46.2 million of cash proceeds to Xcel Brands. The latter is projected to retain 30% of a minority interest in the Isaac Mizrahi brand.
Under this agreement, Xcel will continue to supervise Isaac Mizrahi’s QVC (a shopping channel and the U.S. television network owned by Qurate Retail Group) business with WHP Global. The company has also signed a new license agreement for distributing and designing Isaac Mizrahi apparel in the U.S. and Canada.
Isaac Mizrahi, women’s fashion label established in 1987 by Isaac Mizrahi, an American designer, has reaped a strong following among numerous celebrities like Michelle Obama, Anne Hathaway, Oprah Winfrey, Kate Moss, Meryl Streep, Selma Blair, Rihanna, Julia Roberts, Audrey Hepburn, Kate Hudson, Naomi Campbell, and Carla Bruni.
Since its beginning, the brand has extended its presence into sportswear, handbags, footwear, eyewear, watches, tech accessories, and home and other merchandise, which has witnessed it win four CFDA awards from the Council of Fashion Designers of America, producing more than $1 billion in retail sales.
Today, the product is sold in Saks Fifth Avenue and Hudson’s Bay; interactive television, together with QVC and The Shopping Channel, countrywide specialty retailers; and globally in the United Kingdom, Canada, Italy, and Japan.
While commenting on the move, Isaac Mizrahi, who will be serving as chief design officer of the brand, said that it is a great pleasure to connect the power of its brand.
Meanwhile, CEO and Chairman of Xcel Brands, Robert D’Loren mentioned that the namesake brand has grown for more than a decade under its leadership and adding the new arrangement with WHP seeks to take the brand’s growth worldwide.