Jessica Simpson is betting on a big new investment.
The actor and singer-turned-designer has secured a $67.5 million term loan from Second Avenue Capital Partners (SACP) backed by Schottenstein for his eponymous line, The Jessica Simpson Collection.
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According to the SACP, the new funding will be used to draw down an existing credit facility and provide additional liquidity to fund new growth and a rapidly expanding portfolio.
This news comes months after Jessica Simpson and her business partner and mother Tina Simpson acquired 100% of the brand sequential marks. Sequential bought the majority of shares in the Camuto group in 2015 but filed for chapter 11 bankruptcy protection in August. In September, the singer confided in the FN on redemption her business as she and Tina were in the midst of negotiations with Sequential Brands Group Inc. At the time, they owned 37.5% of the brand they founded in 2005.
After taking full ownership and control in November, the team immediately began developing plans to further grow the existing business and expand the brand into new categories with immediate signings in five new licensing categories and five more. under negotiation. The Jessica Simpson collection currently includes 37 product categories, including footwear, apparel, fragrance, luggage, fashion accessories, handbags, jewelry, maternity wear, girls’ wear and home. New projects will include skincare, health and wellness, demi-fine jewelry and furniture.
Jessica Simpson, CEO of The Jessica Simpson Collection, said in a statement: “Vince (Camuto) used to say, ‘without the right people, you’re nowhere.’ We have that in our leadership team. , we rely on this from our licensing partners, and now we can rely on this from our financial partner. It’s amazing to have full control of our business and with the right support in place, the sky is the limit.
Tina Simpson, president of The Jessica Simpson Collection, spoke about the company’s next chapter in a statement. “We have incredibly talented licensing partners, and having Jessica at the helm gives them renewed energy and confidence in the future of the brand,” she said. “By regaining control of her eponymous brand, Jessica and I, along with our hardworking and dedicated team, can build a legacy brand that will transcend generations. We are thrilled to have SACP and our licensing partners in our corner, supporting our goals, as we embrace the future and continue to build the brand.
“We are delighted with the success of the brand since the acquisition in November 2021, as evidenced by a very strong first quarter of 2022 where we exceeded first quarter revenue by 15% year-over-year,” Jeffrey Howald , CFO of Jessica Simpson Collection added. “We have also experienced an aggressive expansion of international sales, and we are extremely pleased with the onboarding of our potential new partners in such a short time since the closing of the brand acquisition.”
Launch the gallery: Jessica Simpson’s Closet Shoe Styles Over the Years
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