Sapinda Holding B.V., owner of luxury lingerie line La Perla, is considering a $25-million investment in Naked Brand Group, which designs, manufactures and markets 11 brands, including Heidi Klum Intimates and Bendon Man.
A term sheet has been proposed for Sapinda to purchase $25 million worth of Naked Brand Group stock. If the deal is accepted by both parties, Sapinda would own 19.99% of Naked Brand Group shares and be granted a seat on its board of directors.
Sapinda’s investment in the global producer of intimate apparel and swimwear will be a part of a larger effort to assist Naked Brand Group in carrying out acquisitions designed to support its existing infrastructure, as well as allow for its introduction into new markets. The two parties are still working out a definitive agreement but executives on both sides expect the deal to be beneficial.
“If completed, this investment will provide us with additional capital to support our plans to complete accretive strategic acquisitions to better utilize our under-leveraged operating infrastructure,” Justin Davis Rice, CEO of Naked Brand Group said of the possible partnership. “We have identified several attractive opportunities within the eCommerce and direct-to-consumer space that we believe have the potential to create notable shareholder value over the long term. I look forward to announcing new developments surrounding these strategic initiatives as appropriate.”
Sapinda has investments in a broad portfolio across Europe, Africa, the Middle East, and Asia and are the sole owners of luxury fashion brand, La Perla, which also specializes in lingerie and intimate apparel. The Amsterdam-based investment firm purchased La Perla from Pacific Global Brands in February, WWD reported. Sapinda anticipates that the investment will provide a unique opportunity to use the knowledge and infrastructure of both brand groups to provide advantages in key markets.
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“We expect to bring synergies across Naked and La Perla in terms of business intelligence through greater digitalization and shared knowledge across key product categories,” Lars Windhorst, co-founder and CEO of Sapinda, said. “We hope that our strategic investment, coupled with our expertise through La Perla, will help Naked to improve its global presence and enhance its position in the lingerie and swimwear industry.”
News of the investment offer comes just months after Naked Brand Group Inc. and swimwear and intimate apparel firm, Bendon Limited, merged to form Naked Brand Group Limited. Its current roster of brands includes Naked, Bendon, Bendon Man, Davenport, Fayreform, Hickory, Lovable, Pleasure State, Heidi Klum Intimates, Heidi Klum Man and Heidi Klum Swim.
Sapinda’s proposed investment is the next in a long line of diversified interests that began in 2009 after the investment group was founded by a “hand-picked” group of investors from wealthy families coupled with debt and equity industry professionals. Its proposed venture with Naked Brand Group would afford access to revenue from a product line sold in 44 countries and distributed by high-profile retailers like Macy’s, Nordstrom, Saks Fifth Avenue and Amazon.