LVMH has agreed to sell fashion brand Marc Jacobs to brand owner WHP Global and apparel company G-III Apparel Group to “accelerate the brand's next phase of growth”.
The French luxury conglomerate has owned the US fashion brand since 1997.
Under WHP Global, Marc Jacobs will sit alongside the group’s other fashion brands such as Vera Wang, Rag & Bone, and G-Star.
The addition of Marc Jacobs to its portfolio is set to push WHP Global’s global retail sales over US$9.5bn, the company said in a statement.
As well as the joint venture with WHP Global, G-III Apparel Group will also acquire and operate certain parts of Marc Jacobs’ direct-to-consumer (DTC) and wholesale business.
G-III Apparel Group owns fashion brands such as DKNY, Karl Lagerfeld, and Donna Karan, as well as licenses to produce apparel for the likes of Calvin Klein and Tommy Hilfiger.
The two companies will “accelerate the brand's next phase of growth through WHP Global's licensing platform and G-III's best-in-class operating capabilities”, they said in the statement.
“Marc Jacobs is a designer of rare creativity and unique vision,” said Bernard Arnault, Chairman and CEO of LVMH.
“His impact on the world of fashion is undeniable, and I want to warmly thank him for his contribution to the success of the Maison and the LVMH Group over the last 30 years.
“I am confident that this new chapter will offer new avenues of opportunity for Marc Jacobs, that the brand and its designer will continue to inspire customers and creators around the world.”
Founder Marc Jacobs will remain in his role as Creative Director.
“I am forever grateful to Bernard Arnault for his support, belief and trust in me over the last 30 years,” said Jacobs.
“It has been an honour and privilege to work alongside the Arnault Family and LVMH.
“I remain committed in my role as Creative Director of Marc Jacobs International and look forward to this bright new chapter.”
The sale comes as the Marc Jacobs brand prepares to launch a much-anticipated new beauty line.
In an Instagram post commenting on the deal, Jacobs concluded: “HEART ON @marcjacobsbeauty.”
Marc Jacobs Beauty first launched in 2013 but was discontinued eight years later by Kendo, the brand incubator owned by LVMH, causing an outcry among the brand’s fans.
The line is now returning under licence with Coty, which already produces Marc Jacobs fragrances such as Daisy and Dot.
Jacobs teased the return earlier this month, sharing a picture of a new bronzer from the range, which is set to launch in June.