Luxury goods group Labelux today acquired shoemaker Jimmy Choo from TowerBrook Capital Partners LP. Although the terms of the deal were not immediately available, sources close to the developments said the deal was in the region of £500-£550 million.
Jimmy Choo’s chief executive officer Joshua Schulman and chief creative officer Tamara Mellon will continue with their current position while Vienna based Labelux will create a separate subsidiary to own the shoemaker. Labelux also owns another premium shoemaker Bally. Ms Mellon is expected to own shares in the proposed new subsidiary, the sources said.
German company Labelux is said to have outbid competitor private equity firm TPG Capital.
Jimmy Choo became famous for its trademark stiletto heels, worn by the rich and famous, after it was purchased by TowerBrook Capital Partners in 2007 for £185 million who also turned it into a global brand.
TowerBrook Capital had also considered a £650 million Hong Kong listing for the shoemaker.
Ms Mellon, a previous Vogue magazine editor, had set up the company with Jimmy Choo in London in 2006. Mr. Choo sold his stake and exited the business in 2001.
Jimmy Choo has been growing for the last few years and recorded a turn-over of £150 million in 2010. The company has already registered double digit growth this year, it is learnt.