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Fashion Network
01-07-2025
- Business
- Fashion Network
Smythson has been acquired by Oakley Capital, targets US, Europe, Japan growth
Smythson of Bond Street, the high-end British leather goods business, has been acquired from Jacques Bahbout's Tivoli Group by Oakley Capital, a pan-European, mid-market private equity investor. The purchase price wasn't disclosed. The company said it 'marks an exciting new chapter in Smythson's 137-year history of British craftsmanship. Following years of strengthening the brand's foundation and securing its current position, Smythson's partnership with Oakley will help to accelerate growth and expand brand presence'. The luxury business has become part of Iconic BrandCo, Oakley's vehicle for luxury, heritage brands, which includes 'complementary' labels such as Italian homewares company Alessi, British luxury luggage specialist Globe-Trotter, and British high-end leather goods and apparel brand Connolly, in which Oakley invested only in 2024. Iconic BrandCo also has investments in Fornasetti and Fabbrica Pelletterie Milano. The new owner said the label will 'benefit from Oakley's proven value-creation strategies and expertise in accelerating international expansion, digitising operations, enhancing brand positioning and digital marketing. Smythson will leverage this investment to prioritise global growth, with a specific focus on the US, Japanese and European markets, whilst continuing to strengthen the UK home market'. It will take a multi-channel approach to 'drive growth, expand global distribution, develop international franchise agreements, and launch innovative brand activations and collaborations'. A few months ago, Smythson filed its accounts for the year to March 2024 and said that turnover for the business increased to £27.26 million from £23.65 million while gross profit rose to almost £19.6 million from just over £16 million. The operating result was still a loss, but a smaller one at £5.9 million compared to £6.9 million the year before. The loss both before and after tax was also down at £6.6 million from a negative £7.3 million a year earlier. The company, which also closed its New Bond Street store during that financial year, did say in the accounts filing that business was improving. Oakley clearly agrees and sees potential in it. Smythson's CEO Paolo Porta said: 'We look forward to working closely with Oakley's Iconic Brands group to realise the full potential of Smythson as an exceptional British brand. We will leverage Oakley's expertise in international expansion and brand positioning, whilst continuing to honour the legacy of this beloved heritage brand. All of us at Smythson would like to extend our thanks and admiration to Jacques Bahbout and the Tivoli Group for their leadership and support in recent years, and for enabling us to reinforce Smythson's foundations. We look forward to continuing our longstanding production partnership with Tivoli Group across our leather business.' And Oakley Capital co-Founder and CEO Peter Dubens added: 'Heritage brands cannot be created overnight: it can take decades or longer to build a loyal customer base through the application of high-quality craftsmanship, product innovation and marketing excellence. We are lucky to be able to welcome Smythson to Oakley.'
Fashion United
01-07-2025
- Business
- Fashion United
Smythson acquisition signals Oakley Capital's deeper move into luxury heritage portfolios
Smythson of Bond Street, the 137-year-old British purveyor of leather goods and paper-based luxury, has secured a new chapter in its storied evolution through investment from Oakley Capital. The move positions Smythson within Oakley's increasingly focused play on heritage-led, high-margin lifestyle brands via its Iconic BrandCo platform. The transaction signals Oakley's continued confidence in the resilience and global growth potential of niche European luxury. It also reflects a broader shift within the mid-market private equity landscape, where investors are actively targeting legacy labels with strong storytelling and untapped digital upside. Smythson joins a growing stable of brands under Oakley's Iconic BrandCo, including Globe-Trotter, Connolly, and Alessi. The firm has recently deepened its position with investments in Fornasetti and Fabbrica Pelletterie Milano. Together, these acquisitions build a portfolio rich in craftsmanship and cultural capital, qualities that remain bankable in a fragmented global luxury market increasingly polarised between ultra-luxury giants and agile, digitally native independents. Smythson's new CEO Paolo Porta, previously of Jimmy Choo and Hunter, is expected to lead the brand's next wave of growth with a strategic emphasis on international expansion, particularly in the US, Europe, and Japan. The plan includes an overhaul of digital distribution, broader franchising, and renewed focus on cross-category collaborations. This aligns with Oakley's stated investment thesis: improving digital operations, expanding global retail presence, and unlocking operational efficiencies. Importantly, the company has retained its manufacturing relationship with Tivoli Group, maintaining continuity across its leather supply chain—a detail likely to reassure loyal customers and stockists. British heritage brand Founded in 1887 and best known for inventing the portable diary, Smythson's reputation rests on a blend of British design restraint and material finesse. While the brand commands a devoted client base and boasts a royal warrant, it has remained relatively niche in scale—something Oakley now aims to change. According to Oakley Capital's CEO Peter Dubens, the acquisition underscores a belief that heritage brands 'cannot be created overnight.' Vicente Castellano, the group's operating partner overseeing Iconic BrandCo, described Smythson as 'a real milestone' in building a portfolio of global lifestyle businesses. Both executives see the opportunity to scale Smythson's proposition, anchored in utility, craftsmanship, and aesthetic precision, into a broader global offer without diluting its core DNA. While Smythson's revenue remains undisclosed, market analysts point to the growth trajectory of similarly positioned brands such as Moynat or Serapian, both of which have successfully leveraged heritage into new markets via digital and experiential retail formats.
