Sycamore close to finalizing deal on Hunkemöller acquistion

London - One of Europe's largest lingerie brands is set to fall into American hands, as Dutch label Hunkemöller is said to be close to be finalizing a deal with US private equity firm Sycamore Partners. Sources close to the matter have revealed that Sycamore beat eleven other buyout firms during several bidding rounds, which included Carlyle Group and Apax, with its winning offer, according to Bloomberg.

The Dutch lingerie label was previously thought to bring in as much as 500 million euros with its potential sale, but insiders believe that Hunkemöller is likely to trade hands for the smaller amount of 440 million euros. Negotiations for the deal are said to still be underway, as advocates for both the lingerie label's owner PAI Partners and Hunkemöller declined to comment on the potential sale to Sycamore. If the sale is finalized between the two firms, it would see the New York-based Sycamore making its second significant investment within Europe.

Hunkemöller set to be taken over by US firm Sycamore Partners

News of the sale first emerged earlier this year, shortly after PAI, a Paris-based private equity firm, hired investment bank JP Morgan to explore future options for the lingerie brand, which include a possible IPO as well as a sale. The firm first acquired Hunkemöller in early 2011 from Maxeda for the sum of 265 million euros. Since the private equity firm took over the lingerie brand, Hunkemöller has grown to become the largest lingerie brand in the Benelux region, with an annual turnover of close to 300 million euros.

First founded in 1886 in Amsterdam by Wilhem Hunkemöller and his wife Josephina Lexis, Hunkemöller first started a local corset manufacturer. Later, the brand expanded to include locations in Utrecht and Rotterdam. Over the years the brand has grown and is currently seen as one of the biggest lingerie labels in Europe, employing 2,700 workers and operating 600 stores in 16 countries around the globe including Egypt, Morocco and Saudi-Arabia.