Latest news with #Smythson
Reuters
2 days ago
- Business
- Reuters
Britain's Smythson sold to Oakley Capital's Iconic BrandCo
MILAN, July 1 (Reuters) - Smythson of Bond Street, the British luxury leather goods and stationery brand, has been bought by Iconic BrandCo, a company controlled by Oakley Capital which invests in heritage brands, the private equity firm said on Tuesday. Italian leather group Tivoli, which bought Smythson in 2009, said in a separate note that it would continue to produce leather goods for the brand. Financial details were not disclosed by either side. Founded in London in 1887, Smythson sells products such as diaries for 195 pounds ($270) and leather passport covers starting at 170 pounds. It holds two warrants as a supplier to the British royal family. Oakley Capital's Iconic BrandCo said it has also bought Milan-based home decor firm Fornasetti and Italian luggage maker Fabbrica Pelletterie Milano. "The latest acquisitions mark an important step in Oakley's strategy of building a diversified group of luxury, heritage brands," Oakley Capital said in a statement. Iconic BrandCo also controls brands such as Alessi, Globe-Trotter and Connolly. ($1 = 0.7256 pounds)
Telegraph
2 days ago
- Business
- Telegraph
King's stationery supplier Smythson bought by Cameron ally after years of losses
Smythson, the stationery supplier to the Royal family, has been sold to an investment fund founded by an ally of Lord Cameron following years of losses. The 138-year-old group, which once employed Lord Cameron's wife, Samantha, as creative director, has been acquired by Oakley Capital, a private equity firm founded by entrepreneur Peter Dubens. The sale comes after years of losses during which Smythson was forced to grapple with declining consumer confidence and soaring costs, leading to a string of shop closures. The company holds a Royal warrant to supply stationery and office supplies to the King and Queen having been granted its first warrant by the late Queen in 1964. Its ties to the Royal family date back to the 1890s when the group was commissioned to produce stationery for Queen Victoria and it also held a Royal warrant from the late Queen Elizabeth the Queen Mother. Mr Dubens is a former Tory donor and ally of the former prime minister, who has given tens of thousands of pounds to the Conservatives over the last two decades. Mr Dubens reportedly bid £20,000 for a tennis match with Lord Cameron when he was leader of the opposition, and in 2015 made Lord Cameron an honorary member of Mark's Club, the members' club he co-owns with billionaire restaurateur Richard Caring. Founded in 1887 by Frank Smythson, Smythson started life as a producer of stationery before beginning to make handbags in the 1900s. It has also counted Sir Winston Churchill and Grace Kelly as customers. Mrs Cameron worked for the company for 13 years, starting her career as a window dresser and working her way to become creative director. When Lord Cameron became prime minister in 2010, she moved to become a consultant. Smythson was previously owned by the Italian handbag maker Tivoli, which bought it in 2009 in a deal said to be worth around £18m. Smythson posted a £6.7m pre-tax loss over the year to April 2024, slightly narrowing from a loss of £8m the prior year. However, revenues fell from £32.1m to £28.5m. Luxury struggles In its most recent accounts, the company said: 'Demand in the luxury retail sector remains uncertain, subject to global and local economic conditions resulting from the aftermath of the Covid pandemic, ongoing impact from Ukrainian war and recent increase in interest rates and cost of living.' Britain's luxury brands were also dealt a blow when Rishi Sunak's government decided to axe VAT-free shopping for tourists in 2021. Bosses have argued that the removal of this perk has made London a less attractive location for wealthy travellers to come and shop. Smythson has closed a handful of stores in recent years including its New Bond Street flagship in a bid to streamline the company and make its operations more profitable. Mr Dubens said: '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 Network
2 days ago
- 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
2 days ago
- 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.
Times
2 days ago
- Business
- Times
Smythson sold to private equity firm Oakley Capital
Smythson, the leather goods maker which holds a royal warrant, has been sold to a private equity company after several years of losses and declining sales. The 138-year-old stationer said it had been bought for an undisclosed sum by Oakley Capital, founded by the financier and chief executive Peter Dubens. The company has been owned by Tivoli Group, one of Italy's largest handbag makers, since 2009. Smythson, which sold its Bond Street store last year as it struggled amid a global luxury slowdown, warned earlier this year that demand in the luxury sector remained 'uncertain' as it posted another decline in annual sales. The upmarket leather goods seller said it continued to suffer following the recent increase in interest rates and cost of living, as well as from the 'aftermath' of the Covid pandemic and the impact from the war in Ukraine.
