littleny/Depositphotos.com
Vera Wang, the iconic wedding dress brand self-financed since its founding in 1990, reached an agreement to be sold to WHP Global, a brand-management firm backed by private equity.
As part of the transaction, the brand’s eponymous owner Vera Wang will continue as chief creative officer and join WHP as a shareholder. Similar to its other deals, WHP acquired Vera Wang’s intellectual property.
Wang, who is 75, launched her brand at a single bridal salon in Manhattan’s The Carlyle Hotel. Her gowns continue to be regularly worn by celebrities, including Ariana Grande, Beyoncé, Hailey Bieber, Kim Kardashian, and Zendaya.
Supported by numerous licensing deals, Vera Wang has blossomed into a full-fledged lifestyle brand, also offering ready-to-wear, men's tuxedos and suiting, fine jewelry, fragrance, home, and shoes. The luxury house does more than $700 million in annual retail sales.
The designer had explored a sale to Liz Claiborne and St. John Knits in 2006 before landing a lucrative licensing deal with Kohl’s for Simply Vera Vera Wang in 2007.
In an interview with Vogue Business, Wang said the WHP sale will help accelerate expansion globally, particularly in China, the Middle East, and Latin America. She also cited potential opportunities with hotels, condos, and other “experience businesses” that could capitalize on the brand’s bridal or style roots.
“As a privately owned company, that limited how much growth I could fund,” said Wang. “Now, I have the right partner at the right stage.”
For WHP, Vera Wang will anchor a new premium fashion vertical together with existing brands like Rag & Bone, Joe's Jeans, and G-Star.
Founded in 2019, WHP is better known for acquiring brands facing challenges, including recently acquiring Express, including Bonobos, out of bankruptcy proceedings. The portfolio, also including Anne Klein, Joseph Abboud, Isaac Mizrahi, Lotto, Warners, Toys“R”Us, and Babies“R”Us, generates over $7 billion in global retail sales annually.
WHP was co-founded by Yehuda Shmidman, with the help of funds managed by Oaktree Capital Management. Other backers include Ares Management and BlackRock. The business was valued at $1.6 billion in March 2023.
Beyond funding, Vera Wang is expected to benefit from WHP’s brand-building expertise, including its internal turnkey e-commerce platform and Asia-based sourcing agency.
“What’s unique about Vera’s business is that she’s always been very focused on being a lifestyle brand and a brand that has the potential for licensing,” Robert Burke, chairman and CEO of Robert Burke Associates, told WWD. “She was very early on with the mattress deal and the Lenox tabletop. She tapped into that bridal market and realized it was multifaceted. If she couldn’t make it, she partnered with someone who could.”
He added, “She’s still the most internationally recognized label in bridal, hands-down. I think there’s still a great deal of room for her brand to grow.