The sale will enable Faith to continue to operate as a going concern, safeguarding over 2,000 jobs.
Under the terms of the agreement, Faith will be combined with menswear retailer Envy, owned by Kinnard, and young fashion brand Chilli Pepper, owned by Agilo.
The new business will have approximately 140 stores across the UK and 200 concessions in the UK and Europe.
Kinnard and the management will hold a majority stake in the new business, with Barclays Bank and Agilo holding minority shares.
David Morris, senior managing director of FTI Consulting Limited, which was appointed as administrators of Faith, said: "Having assessed all options available to the business and given the financial challenges faced by the group, this transaction represents the best possible outcome for all stakeholders in the circumstances."
He added: "This transaction will enable the business to continue to trade as well as securing the future of the brand which is excellent news for its employees, customers and suppliers."
For an in-depth analysis on Faith's future click here.