Stella McCartney regains control over her brand after 17 years
The designer Stella McCartney has reached an agreement to buy the 50% stake that the luxury group Kering had of its brand and in this way regain full control of the company. The cooperation between the two companies, Kering and Stella McCartney, will prevail over a period of time in order to ensure optimal separation without interruptions and maintaining the brand's momentum in the market, according to a statement issued by the French luxury group.
In addition, McCartney will continue to be part of the board of the Kering Foundation, dedicated to fighting gender violence and improving the lives of women. They will also continue to collaborate in the field of sustainable fashion, one of the mainstays of the brand directed by the British designer. "I am very proud that Kering and Stella McCartney have worked together since 2001," said the president and CEO of Kering, François-Henri Pinault, adding that this is "the right time for the brand to pass to a new stage alone.
“During these 17 years and thanks to her collaboration with Kering, Stella McCartney has become a brand with a global presence and regularly shows at Fashion Week in Paris. Currently, its portfolio includes collections of women, men, children, accessories, bath and lingerie, as well as a line of fragrances and a stable collaboration with the sports brand Adidas.
Although the British designer, daughter of Paul McCartney, has always denied the option of her father being part of the company, sources in the sector have indicated to the specialized publication Business of Fashion that they do not rule out that the exbeatle ends up financially supporting Stella McCarntey in his new stage. In fact, it has not transcended how the repurchase operation will be financed. Although Kering does not disclose the turnover of the group's small firms, a market valuation conducted in 2015 placed Stella McCartney's sales between 150 and 200 million euros per year.
The firm, founded in 2001 and headquartered in London, has 51 stores in the main capitals of the planet, from New York to Tokyo, through London, Paris and Hong Kong. Stella McCartney has two establishments in Spain; it opened in Barcelona in 2012 and two years later it opened in Madrid. The brand is present in more than 70 countries through nearly 900 multi-brand establishments and department stores. In addition, it has online distribution in a hundred markets around the world.
Kering is a French conglomerate that is listed on the Paris stock exchange and that brings together luxury brands such as Gucci, Saint Laurent, Alexander McQueen, Balenciaga or Ulysse Nardin. The operation comes after closing the year 2017 with record figures with revenues of 15,500 million euros and 44,000 employees worldwide. Recently, the group announced that it concentrates all its activity exclusively in the luxury sector and that in the coming months it will segregate the Puma sports brand, which is still part of its portfolio of brands, despite billing more than 4,000 million euros. Gucci, with 44%, and Saint Laurent, with 25%, are its brands with the greatest growth potential.