Luxe News: WHP Buys Vera Wang; Versace and Jimmy Choo May Be Sold

As the year winds down, some high-profile luxury retailers have made – or are contemplating – moves designed to enhance their long-term futures. That includes Vera Wang (New York) selling the IP (intellectual property) of her eponymous brand to WHP and Capri Holdings (New York) contemplating selling its Versace and Jimmy Choo Brands.

Vera Wang’s deal calls for her to stay on as the brand’s Chief Creative Officer and join WHP Global as a shareholder, continuing to shape the brand’s creative direction and future growth. WHP said the acquisition represents “a pivotal moment for WHP Global, as it anchors a new premium fashion vertical together with rag & bone, Joe’s Jeans and G-STAR.”

Financial terms of the deal, which is expected to close in January, were not disclosed. Wang’s brand generates over $700 million in annual retail sales across categories including women’s apparel, bridal, men’s tuxedos and suiting, fine jewelry, fragrance, and home, among others, while WHP’s total portfolio generates over $7 billion in global retail sales annually across fashion, sports and hardgoods.

Capri, meantime, is working with international banking giant Barclays to try to find buyers for Versace and Jimmy Choo, financial sources told Women’s Wear Daily. The report comes roughly a month after Capri’s proposed merger with Tapestry (New York) was called off for a variety of regulatory and legal obstacles.

Michael Kors is by far the Capri’s biggest business and is in need of a turnaround, WWD reports, which means selling off the other divisions would give Capri time and resources to continue that effort. Meanwhile, the fashion business newspaper said there’s also work to do on both Versace and Choo, which have been hit by softening luxury demand and in particular a slowdown in China.

Neither Capri nor Barclays responded to WWD’s requests for comment as of its initial posting.