Streetwear brand Scotch & Soda has been acquired by private equity firm Sun Capital Partners and US brand house Kellwood.
Scotch & Soda is the latest brand to be added to the Kellwood stable, which also includes streetwear brands Baby Phat, Phat Farm and mainstream womenswear brand Sag Harbor.
The Scotch & Soda founders and management team will continue in their respective roles. The terms of the deal have not been disclosed, but Michael Kramer, president and chief executive of Kellwood, said the business is “huge and hugely profitable”.
Kramer said: “Scotch & Soda is one of the coolest, most sought after brands today, and I couldn’t be more excited to have them partner with the Kellwood team.”
He added: “I think there’s a lot of brand fatigue out there. In the contemporary market, if you’re a teenager, or if you’re twentysomething or thirtysomething, it’s all the same brands out there. I’ve always been on the lookout for brands which speak to that customer and have a strong DNA and great design.”
Kramer said he hoped that by using Kellwood’s expertise the brand could be expanded internationally.
Kellwood has recently been acquiring other brands and within the last year bought contemporary brands Adam and Rebecca Taylor. Kramer said he plans to look at more international brands and it has been reported Kellwood is close to sealing three other deals and is in negotiations to acquire premium womenswear label Catherine Malandrino.
Sun Capital Partners, a private equity firm, acquired Kellwood in February 2008 for $762 million.