Ralph Lauren Corp. agreed to sell Club Monaco to private equity Regent, allowing it to focus on its namesake business.
Patrice Louvet, president and chief executive officer of Ralph Lauren, said: “For the past 22 years, Club Monaco has been an important and valued part of the Ralph Lauren family, and we are grateful for the many contributions the brand and its team have made to our company. As we increase our focus on our core namesake brands, we want to ensure the Club Monaco brand is also well-positioned for long-term success. We are confident that Regent is the right home for Club Monaco to realize its full potential, as they will be able to leverage their strategic and operational expertise to continue Club Monaco’s growth.”
The deal with Beverly Hills-based Regent, which has carved numerous other businesses out of Fortune 500 companies, is expected to close by the end of June.
Last year, Ralph Lauren said it would accelerate its Next Great Chapter strategic framework with a strategic realignment that included an “an evaluation of the company’s brand portfolio,” with eye toward making sure its core brands were “positioned for sustainable growth.”
The company said that evaluation is completed with the deal to sell Club Monaco and the licensing of the Chaps brand last year.
Now, Club Monaco faces its own next chapter.
Michael Reinstein, chairman of Regent, said: “Club Monaco is a beloved brand with a modern style, loyal customer base and long runway for growth. We see tremendous opportunity for Club Monaco and are excited to leverage our retail and e-commerce expertise to build upon the strong brand that the Ralph Lauren team built over two decades of stewardship.”
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