Onward buys Joseph

[Lena]

shopping time for Onward kashiyama

Onward Kashiyama, the Tokyo-based fashion manufacturer, retailer and distributor, has purchased 100 percent of Joseph in a deal valuing the U.K. retailer at $258 million, or 140 million pounds.

"We have known Onward Kashiyama for many years as our men's wear partner in Japan, and the combination offers significant advantages to Joseph, especially in respect of expansion in the Far East," said Joseph's managing director Thierry Letrilliart in a statement Monday.

Joseph is one of the U.K.'s leading designer-label retailers and a wholesaler of its own private label. Founded in the Seventies by Joseph Ettedgui, it has 63 stores, mainly in the U.K. and continental Europe.

Onward owns such labels as ICB, or International Concept Brand, and has a stake in the Florence-based clothing manufacturer Gibo. It also distributes clothing for designers including Michael Kors, Calvin Klein and Jean Paul Gaultier.

Industry sources said the sale came at the end of an "extremely competitive" auction and that the new owners are keen on tapping Joseph's potential for international growth, especially in the Far East.

"They feel they can expand the brand aggressively in the Japanese market, and they're also looking to grow it in Hong Kong and China," said an industry source.

Meanwhile, the statement went on to say that Joseph's sales increased 3 percent to $129 million, or 70.3 million pounds, in the fiscal year ended in March.

from wwd

 

[metal-on-metal]

Joseph needs a lot of restructuring and modernizing as a brand. It really was on top of its game in the 90's. Hopefully this means good things for the future.

 

[jhaime]

That's a real big move...I can't beleive they sold out for as little as they have done...incredible.

 

[jhaime]

Belgian investor Albert Frere, who acquired a 58%stake in the business for £98.5m in 2001, is believed to be looking for an exit in a deal that could be worth between £70m and $100m


There's you answer there.

 

[Lena]

That's a real big move...I can't beleive they sold out for as little as they have done...incredible.

agreed jhaime, not such a good price for joseph, but then, they dont seem to sell much either right?

 

[Scott]

Yeah,Joseph doesn't seem as popular as it was during the early and mid-90's. Were they struggling or did they just lose their appeal?

 

[softgrey]

i actually have worked with joseph a lot and have a few key pieces from them...

but i always found that the price did not justify the quality or the design...
plus the basic cut is very long and lean...
making it very difficult to wear and thus limiting the market for the brand...
it was really the long and lean pants that they were famous for in the 90's...
just like daryl k and around the same time...
but even daryl k's trousers allowed room for some lunch...
with joseph trousers you could basically have a cigarette and a diet coke for lunch...

nobody really lives like that anymore...
people and fashion seem to be more relaxed these days...
i think it's just an outmoded style-(kind of like gucci)...
and they just didn't evolve enough...

it's now a really confused collection...
a mix of that long and lean with really oversized japanese inspired pieces...
they seem to have lost their identity...

and when i saw the collection...
many of the best samples weren't even going into produciton...
i feel like they just didn't take the right direction or take enough risks...

but i'm still a fan and hopefully onward can breathe some new life into them...

thanks for posting the article lena..

 

[kit]

Yeah,Joseph doesn't seem as popular as it was during the early and mid-90's. Were they struggling or did they just lose their appeal?

When Joseph Ettegedui was inspired and keen , the shops and the label did well , but he overexpanded , for instance opening the London's Yohji boutique and the Conduit Street Connolly shop - top end leathers , Charvez shirts etc , and losing the plot and the nowness .

He's more interested in his young second wife , and restaurants , instead .

 

[modelmama]

Wow- JOSEPH. Loved the pants. Loved there Coats.

I began to reminisce after reading Soft's post. I remember when I purchased my first pants from Joseph in 1997- they were called Jockers and they fit me so well - Every season after I would buy another few pair (depending on the colors available).

Then I was introduced to the Joplins (very skinny pants) and Denis (styled after riding pants). and -Oh- the sweaters...

Maybe this is will be a good thing for them. A chance to regroup, and to revamp the brand.

I wonder how the folks in the UK feel about this.

 

[Lena]

JOSEPH EXITS JOSEPH: Joseph Ettedgui, who founded one of the U.K.'s leading designer label retailers, has stepped down from his post as executive chairman of Joseph and has left the company. In May, Joseph was sold to Onward Kashiyama for approximately $258 million for 100 percent of the company's equity and debt. After the sale, Joseph and his brother, Franklin, who does not have a management role in the company, together walked away with more than $37 million.

from wwd of today

 

[Meg]

Why did he leave? Because of issues with the new people or just because?