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Jaeger buys Aquascutum
The raincoat firm has been acquired by the high street retailer in a bid to create a global fashion brand
Jaeger has bought 158-year old Aquascutum - famous for its wartime trench coats - in a deal which will create a retailing powerhouse selling to markets across the world. The combined group will have global sales of £300m and sees Aquascutum coming home to the UK after being owned since 1990 by Japanese textiles firm Renown.
The figures behind the bid are Jaeger's owner Harold Tillman and Belinda Earl, its chief executive, who masterminded the revival of the brand after purchasing it in 2003. They plan to reproduce the success of the high street chain by rolling the Aquascutum brand out globally, moving it away from its roots as a waterproof trench coat supplier to soldiers in both world wars.
Tillman said: "We are pleased to be able to return this global luxury heritage fashion brand to British ownership. The Aquascutum brand has a strong positioning in the international arena and has seen significant investment in recent years. Belinda and I have worked together for the last five years and our strong track record, experience and complimentary skills, will enable us to continue the development of the Aquascutum brand worldwide."
The terms of the deal were not revealed, but Aquascutum lost £15.7m two years ago after being bought by Renown for £77m. It has struggled with expansion and a review by its parent earlier this year was followed by the departure of the previous chief Kim Winser, after a failed management buyout. After the purchase the Asian rights were immediately sold onto current licensee Hong Kong firm YGM Trading, for £13.7m.
WHAT THEY ARE SAYING:Robert Clark, senior partner at Retail Knowledge Bank, in the Independent: "Aquascutum was a Burberry waiting to happen, but it never had the investment, management input and innovative leadership in a global world to do a Burberry."
Andrew Hill in the Financial Times: "Harold Tillman and Belinda Earl's decision to wrap themselves in the flag and declare the "return" of the venerable fashion brand to British ownership is understandable, but risky... Aquascutum's new owners should mute the patriotic tunes until they can be sure they won't have to cut jobs in this green and pleasant land." ·
