// Matchesfashion’s owners Apax Partners have agreed to inject £60 million into the business,
// The luxury fashion retailer said the investment will combine an anticipated split of £40m in equity and £20m in debt
Matchesfashion’s owners, private equity firm Apax Partners, are set to invest £60m into the business to help fuel its turnaround.
The London-based buyout firm has agreed to inject £60m into the British luxury fashion retailer which sells brands including Gucci, Prada and Valentino.
The funding will be split into £40 million of fresh equity and £20 million of new debt — marking Apax’s largest commitment since it snapped up the business in 2017 in a deal valued at $1bn.
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In addition to the new capital, Matchesfashion is said to have had “productive” conversations, and agreed covenant waivers and extensions, with all of its lenders.
The additional financing underlines both the challenges that Apax has faced since acquiring the business and its confidence in new chief executive Nick Beighton’s turnaround plan.
Beighton, the former chief executive of fashion giant Asos, was appointed last August to lead a turnaround of the business, with his notable expertise in digital and expansion in the US market.
He is the retailer’s fourth CEO in five years as former Amazon executive Ajay Kavan departed in early 2021 after a year in the job and former Printemps CEO Paolo de Cesare left the company in July 2022 after just nine months.
“Matchesfashion offers luxury brands an exclusive audience and our customers love the service we provide,” a company spokesperson said.
“Our trading performance has been very strong in recent months and we are well-positioned as a business, having significantly strengthened our top team. Now, with additional financial support from Apax, we are well placed to continue to drive our turnaround plan and deliver long-term commercial success.”
The business is already said to have seen positive results under Mr Beighton, with one source saying that order demand was up 15% year-on-year during the key pre-Christmas trading period.
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