End Clothing has been acquired by the private equity powerhouse Apollo, three years following its previous owner, The Carlyle Group, taking over the brand.
This acquisition coincides with the luxury streetwear retailer’s lenders and shareholders having reached a deal to recapitalize the company, according to Drapers.
Apollo played a role in financing The Carlyle Group’s acquisition of a controlling stake in the brand in 2021, which valued the company at £750 million.
Co-founders Christiaan Ashworth and John Parker, who were both part of the board of directors, have stepped back from their roles in the company since the transaction.
End Clothing’s CEO, Parker Gundersen, stated that Apollo’s investment will assist in alleviating the company’s debt, enabling it to “further strengthen [its] balance sheet and forward cash flow as we look to reach our next stage of evolution as a brand.”
“This transaction will allow us to reinvest in the team and execute our business plans,” he added.
“Our focus remains on curating the right products, deepening our connections in the community, and enhancing operations to maintain our status as a leading fashion destination.”
The retailer reported a 68% decrease in EBITDA, down to £13 million for the year ending 31 March 2023, partly due to expenses associated with implementing a new stock management system. Meanwhile, sales increased from £219 million to £221.1 million.
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