Karl Lagerfeld SAS, a wholly owned subsidary of the Tommy Hilfiger Group, is not part of Phillips-Van Heusen’s $3 billion acquisition of Hilfiger’s company, according to reports.
Lagerfeld will be retained by private equity house Apax Partners, the firm that owned Hilfiger, following Phillips-Van Heusen’s acquisition of the Hilfiger business.
Apax partner Christian Stahl told WWD: “We didn’t sell it along with the business. We’re going to take it out at the closing and put it into a separate company that we’ll continue to own. We believe it’s one of the best designer brands in the world, and we will put new management in place.”
Stahl said a new management team hasn’t been appointed.
“It’s not commercially the best brand in the world, but in terms of appeal and recognition, I think it’s a great brand. We’re going to focus on it and develop it,” he said.
Asked if Apax will try to eventually sell the business, Stahl replied: “Every company we own is for sale.”
Lagerfeld couldn’t be reached for comment by WWD.