EQUITY GIANT CARLYLE INVESTS IN SUPREME
BILLION DOLLAR BABY
According to WWD, hot skater brand Supreme in July sold a 50 percent stake in its business to private equity giant Carlyle for $500 million.
Sources cited by the fashion newspaper say that the transaction was kept unusually quiet probably since Supreme’s founder James Jebbia was concerned that taking such a big check from private equity would ultimately impact the brand’s street credentials, “particularly in the U.K., where he was raised.”
Founded in 1994 by New York-born, British-raised Jebbia, Supreme has become of the hottest tickets on the fashion scene thanks to a focused strategy of exclusive drops that generate waiting lists; collaborations with high-end brands, including the latest one with Louis Vuitton; a well-defined image; a strong fashion message, plus heaps of celebrity status.
According to WWD, the transaction gave Supreme “an enterprise value of $1.1 billion, including $1 billion in equity and $100 million in debt.”
After Manhattan, the brand opened its second New York store, in Brooklyn.