Cinven acquires German fashion group CBR
Continuation of successful growth strategy planned
European private equity provider, Cinven, today announces the conclusion of an agreement for the acquisition of the German fashion group CBR Holding GmbH & Co. KG (CBR). With the brands Street One, Cecil and One Touch, CBR is one of the fastest growing ladies’ clothing companies in Germany. The purchase price is not disclosed.
CBR has more than 700 employees and is active in more than 15 countries. The fashion group has a European network of approximately 600 franchise stores and more than 4,000 trading partners. With its unusually flexible business model, CBR produces 12 collections a year for each label and so offers its retail partners the greatest possible speed of turnover and response capability. For the year 2004, CBR is expecting sales of more than €500 million.
"CBR is one of the most rapidly growing fashion groups in Europe, demonstrating a successful business model and substantial growth potential for the future. We will actively support the management, employees and business partners of CBR in driving the established expansion strategy", said Peter Gangsted, partner at Cinven and head of the Frankfurt office.
Cinven Partner, Christian Dosch, adds: "With CBR, we are acquiring a fashion group, whose three labels have an excellent position in the market. Cinven offers the company the strategic support and financial security to internationalise its growth and increase the potential of its successful labels."
The acquisition has been structured with equity finance from the €4.4bn third Cinven fund. In addition a loan has been arranged from a banking Consortium consisting of HypoVereinsbank and Royal Bank of Scotland.
Cinven has been advised on this transaction by Deutsche Bank. The transaction is subject to the consent of the EU monopolies authorities.