G-III Apparel taking DKNY, Donna Karan to China
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American apparel brands DKNY and Donna Karan are about to invade Greater China via a JV between New York’s G-III Apparel Group and investment fund Amlon Capital.
As well as the mainland, the venture is targeting Hong Kong, Macau and Taiwan, with January 1 as lift-off date.
G-III owns 49 per cent and Amlon the balance of the JV, which will have $25 million in funding. It is being chaired by Tommy Hilfiger chairman Fred Gehring with Steve Shen from Nanjing Datex fashion as CEO.
G-III chairman/CEO Morris Goldfarb says the collaboration offers a “major strategic opportunity”.
G-III makes and distributes apparel and accessories under licensed, owned and private-label brands. Its owned brands include DKNY, Donna Karan, Jessica Howard and Vilebrequin. It has fashion licences for such brands as Calvin Klein, Dockers, Guess, Ivanka Trump, Karl Lagerfeld, Kenneth Cole, Levi’s, Tommy Hilfiger and Vince Camuto.
Amlon was set up last year by Gehring together with partners and private equity firm Apax Partners. The private investment vehicle already has stakes in Denham Jeans, Karl Lagerfeld and childrenswear brand Vingino.
Questions & Answers
Q.What is the primary objective of this new joint venture?
What is the primary objective of this new joint venture?
The venture aims to introduce and expand the American apparel brands DKNY and Donna Karan across Greater China. This includes mainland China, Hong Kong, Macau, and Taiwan, starting from January 1.
Q.Who are the key individuals leading this joint venture?
Who are the key individuals leading this joint venture?
Fred Gehring, chairman of Tommy Hilfiger, will chair the joint venture. Steve Shen from Nanjing Datex fashion has been appointed as its CEO, leading the strategic expansion.
Q.What is the ownership structure and initial funding for the joint venture?
What is the ownership structure and initial funding for the joint venture?
G-III Apparel owns 49 per cent of the joint venture, with Amlon Capital holding the balance. The venture will begin with $25 million in initial funding to support its operations.
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