Australian label Zimmermann said to be on verge of being sold

Less than three years after being acquired by Italian investment fund Style Capital, Australian womenswear label Zimmermann is reportedly about to be sold. The label, renowned for its refreshing style, with flowery dresses and swimming costumes at once bohemian and sexy, is on the verge of being sold for €1 billion, according to a report by Milanese business daily MF Fashion.

Style Capital, led by Roberta Benaglia, previously made a name for itself through the success of the Twin-Set and Golden Goose labels, which it managed to sell on to other investment funds, and still holds an extensive portfolio. It owns a majority stake in Forte Forte, and is a shareholder in MSGM, Re/Done and LuisaViaRoma. It recently acquired a controlling interest in emerging label Giuseppe di Morabito, in partnership with the Paoloni family. The latter controls Italian fabric producer Manifattura Paoloni which, among others, also holds a stake in MSGM, like Style Capital.

At the end of 2020, Style Capital bought from US investment firm General Atlantic a stake of nearly 70% in Zimmermann, for a sum that was estimated to be in the region of €300 million. At the time, Zimmermann’s revenue was €148 million.

The label was founded in Sydney in 1991 under the aegis of designer Nicole Zimmermann and her sister Simone, the company’s COO. Initially just a quirky swimwear brand, Zimmermann has become one of the best-known names in Australian fashion. It has gained international visibility after showing in Paris for the last few seasons.

In 2022, the label’s revenue was €270 million, and this year it is expected to reach €336 million, with an EBITDA of €80 million, according to MF Fashion.

Contacted by FashionNetwork.com, Style Capital did not comment on the news. MF Fashion did not disclose the name of the potential buyer, while saying the operation should be announced soon.