WHP Global and G-III Apparel Group will jointly acquire Marc Jacobs from LVMH, with both companies contributing up to USD 425 million towards the transaction
French luxury conglomerate LVMH has agreed to sell fashion label Marc Jacobs to a joint venture formed by WHP Global and G-III Apparel Group, with the buyers arranging up to USD 850 million to finance the acquisition, the companies said.
The transaction brings to a close nearly three decades of ownership by LVMH and comes at a time when luxury groups are tightening focus on profitability amid slowing global demand. Continued geopolitical tensions in the Middle East have disrupted travel and weighed on discretionary spending across a key luxury market.
The deal also signals a broader shift in the luxury sector, where global conglomerates are increasingly offloading non-core assets while specialist brand management firms and apparel manufacturers emerge as buyers of accessible luxury and American designer labels.
“This underscores a new playbook of owning the IP, licensing aggressively and keeping operations lean,” Brittain Ladd, consultant at Florida-based Chang Robotics said.
LVMH had said last month that the Iran conflict shaved at least 1 per cent off group sales in the latest quarter, citing weaker Gulf spending and lower tourist inflows into Europe.
The transaction follows a series of similar deals across the global fashion industry. In 2021, Adidas sold Reebok to Authentic Brands Group in a deal valued at up to 2.1 billion euros.
Marc Jacobs To Continue As Creative Director
New York-based WHP Global said the acquisition would strengthen its premium fashion portfolio, which includes Vera Wang, rag & bone and G-Star. Following the acquisition, the company’s global retail sales are expected to exceed USD 9.5 billion.
Designer Marc Jacobs, who founded the label in 1984, will remain creative director after the transaction closes and continue overseeing its creative vision and runway collections. LVMH acquired a majority stake in the brand in 1997, the same year Jacobs was appointed the first creative director of Louis Vuitton.
At Louis Vuitton, Jacobs expanded the brand into ready-to-wear fashion and introduced artist collaborations with figures such as Richard Prince and Takashi Murakami, helping blend fashion with art and pop culture.
“I am forever grateful to Bernard Arnault for his support, belief and trust in me over the last 30 years,” Jacobs said on Instagram.
Deal Structure
Under the agreement, WHP Global and G-III will establish a 50:50 joint venture to own the intellectual property rights of Marc Jacobs. The companies said the deal is expected to close before the end of the year. G-III will manage the brand’s global operations, while WHP Global will oversee licensing.
While the companies did not disclose the official financial terms, regulatory filings showed that WHP Global and G-III are each expected to contribute up to USD 425 million towards the acquisition.
G-III, which owns brands including Karl Lagerfeld and DKNY, said it would fund its share of the investment through cash reserves and its revolving credit facility.
