Reiss sells stake to Warburg Pincus to accelerate expansion

London - Premium fashion retailer Reiss has sold a majority stake of the business, valued at 230 million pounds to an affiliate of private equity firm Warburg Pincus, as the brand looks to expand further both in the UK and internationally.

Reiss, founded by David Reiss in 1971, has more than 160 locations in 15 countries, and in the year to January 2016 the premium fashion chain generating sales of 146 million pounds.

It is hoped that the significant investment will assist Reiss in its expansion plans, which includes expanding further in the UK, as well as in North America, Asia, and Australia, areas where the brand can build on its current successes, a statement confirmed.

David Reiss will retain a significant investment in the business and will remain as chairman and chief executive officer.

"I am delighted to be working with Warburg Pincus as we take Reiss to the next stage of its development,” said David Reiss, founder, and chairman of Reiss. “We have built a great business providing our customers with timeless luxury at affordable prices and I am confident that working together we will be able to build Reiss into a truly global fashion brand.”

Reiss looking to accelerate expansion following investment

Commenting on the deal, Warburg Pincus managing director Paul Best, added: "As long-term growth investors, we look forward to partnering with David and his team and supporting the global expansion of Reiss.

“The business has built an enviable position in its core UK market, with a broad and loyal customer base, and we believe there is a significant opportunity to build on this success and accelerate development internationally."

Warburg Pincus is a leading global private equity firm focused on growth investing. The firm has more than 40 billion dollars in private equity assets under management and its active portfolio has more than 120 companies.

Image: Reiss