Opening Ceremony takes first outside investment

Trendy New York-based fashion retailer Opening Ceremony, co-founded by Humberto Leon and Carol Lim, has confirmed plans to “accelerate growth” as it takes its first outside investment from private equity firm, Berkshire Partners. The Boston-based Berkshire Partners has taken a minority investment in

the 12-year-old retailer and has announced that the new capital will used to accelerate the company’s growth, including plans to develop Opening Ceremony women’s, men’s and accessories collections, enhance its e-commerce capabilities, as well as step up its retail expansion through additional mono-brand and multi-brand stores.

Alongside the investment, Opening Ceremony co-founders have also established a board, naming Glen Senk, a former Urban Outfitters CEO who recently partnered with Berkshire Partners, as a non-executive chairman, while Leon and Lim continue to lead the company.

Senk was most recently Chief Executive Officer of David Yurman, but he is primarily known for his role at Urban Outfitters Inc where he joined the company as president of Anthropologie in 1994 before being named CEO of the entire group in 2007.

Commenting on the deal, Lim said, “We are thrilled to have Berkshire Partners as new investors. Since starting Opening Ceremony, Humberto and I have worked together to create a company with a strong point of view that offers our customers a fresh shopping experience in our stores, collections and website.

“Our growth over the years has been organic, but also strategic, and the relationship with Berkshire provides Opening Ceremony with broad resources to grow to the next level. When we decided to establish a Board of Directors, we immediately thought of Glen, who has been a friend of Opening Ceremony and brings to our board his incredible experience growing companies.”

Opening Ceremony plans to accelerate growth with Berkshire Partners investment

Leon added: “We go by our instincts—it’s the way Opening Ceremony has gotten to where it is today. Carol and I want to continue the special path of Opening Ceremony because we’ve felt such a strong desire for it from our customers.

“We’ve got a lot of ideas for more Opening Ceremony stores and we want to build our online platform to be even more dynamic.”

College friends Lim and Leon founded Opening Ceremony in 2002 after being inspired by a trip to Hong Kong; they left their jobs in corporate fashion to launch a brand inspired by the principles of the Olympic Games, by featured virtually unheard-of designers from different countries. What started as a single store in SoHo New York has become a global brand with retail stores in London and Los Angeles, as well as multiple across Japan, and a successful e-commerce website.

Over the years, Opening Ceremony has partnered with international brands to create signature collections including Adidas, Rodarte, Pendleton, Hickey Freeman, Timberland and Maison Martin Margiela, and has become known for its collaborations with creatives like Spike Jonze, Ryan McGinley, and Chloë Sevigny. Last September the brand pushed forward with its own collection with a presentation of its women’s and men’s lines on the runway during New York Fashion Week.

Marni F. Payne, senior director at Berkshire Partners commented: “Opening Ceremony has long been at the leading edge of creativity and consumer connection in the retail community. The strength of its brand presents a tremendous platform for growth across products, geographies and channels. We look forward to working with Carol and Humberto and the rest of the Opening Ceremony team to support the next phase of the company’s development.”

Images: Opening Ceremony