Guess and WHP Global partner to acquire Rag & Bone

Guess and brand management firm WHP Global have announced their partnership in acquiring fashion label Rag & Bone. This acquisition combines Guess's operational assets purchase with a joint venture between Guess and WHP Global, each holding a 50% stake in Rag & Bone's intellectual property.

Transaction Snapshot

  • Deal value: Guess to invest US$56.5 million with a potential additional earnout of US$12.8 million.
  • Deal type: Acquisition
  • Investors: Guess and WHP Global.

The collaboration aims to leverage each company's strengths to enhance Rag & Bone's global presence. Andrew Rosen, chairman at Rag & Bone, expressed excitement over the new chapter this deal represents, foreseeing a blend of unique styles and expertise.

Rag & Bone, headquartered in New York City since 2002, is renowned for its fusion of craftsmanship and contemporary culture, especially in denim. With 34 U.S. stores, two in the U.K., and a strong online presence, Rag & Bone reported approximately US$250 million in annual revenue for 2023.

This strategic acquisition is expected to facilitate Rag & Bone's global expansion and product diversification, benefiting from Guess and WHP Global's extensive distribution networks. Paul Marciano, Guess co-founder, and Yehuda Shmidman, CEO of WHP Global, both highlighted the deal's potential for Rag & Bone's growth and innovation.

By acquiring Rag & Bone, Guess makes its first acquisition in its 43-year history, signifying a milestone in its expansion and diversification efforts within the global fashion market.

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