Denim brand True Religion sells controlling stake to ACON Investments
Acon Investments has acquired a controlling stake in True Religion, a premium denim and apparel brand, for an undisclosed amount. The deal is expected to support the brand’s growth and international expansion.
Transaction snapshot
Deal value: N/A
Deal multiples: N/A
Deal type: Majority stake acquisition
Investors: Acon Investments, SB360 Capital Partners, and others
True Religion, founded in 2002, specialises in premium denim, sportswear, and apparel for men, women, and children. The brand operates over 51 branded retail stores, an e-commerce platform, and a network of wholesale partnerships. It will continue to operate independently from its headquarters in Gardena, California.
The acquisition is supported by Acon’s strategic partner SB360 Capital Partners and other unnamed investors. Together, the investors aim to leverage their expertise to accelerate True Religion’s growth, expand its geographic reach, and diversify its product range.
Michael Buckley, CEO of True Religion, stated, “Our partnership with Acon and SB360 represents an exciting new chapter for True Religion. With their expertise and resources, we are poised to enhance our digital and retail capabilities, accelerate our international growth, and continue innovating our apparel offering.”
True Religion has rebounded strongly after filing for bankruptcy protection five years ago. The brand capitalised on its association with hip-hop culture to drive a 20% increase in sales, reaching US$280 million in 2023, with US$80 million in earnings before interest, taxes, depreciation, and amortisation (EBITDA).
Acon Investments, based in Washington, DC, has managed US$7.2 billion in assets over its 29-year history. This transaction aligns with the ongoing trend of private equity acquisitions of established independent brands. Recent deals include LVMH-backed L Catterton acquiring Japanese menswear label Kapital and WHP Global acquiring Vera Wang in December.
