LVMH's Pink Shirtmaker goes up for sale
Upscale menswear retailer Pink Shirtmaker is up for sale, according to reports, although owner LVMH has yet to officially confirm the move for what is one of the luxury goods group's smallest enterprises.
Thomas Pink stores -- rebranded Pink Shirtmakers in 2018 -- plus its website and social media have been closed with its key flagship stores in London’s West End and the City shuttered since the summer, alongside its Heathrow Airport terminal 2 and 5 units. The Madison Avenue New York store is also closed.
As with many fashion retailers, 2020 has been a tough year, but Pink suffered particularly badly as demand for office wear was hit hard during the pandemic. As working from home increasingly became almost the norm for many office workers, especially in the financial sector, the brand’s key demographic diminished significantly.
The Evening Standard has reported that potential purchasers have been approached to view financial information in a data-room opened last week. One potential bidder told the newspaper that the sale didn't include any stock, although there was a revenue stream from a venture with lingerie group Victoria’s Secret, which also operates the unrelated Pink brand.
After the purchase, LVMH relaunched the business as Pink Shirtmaker and as a more upscale brand, with core shirt prices rising to £120-£160. Costs to reposition the business were said to have hit profits.
Pre-relaunch accounts for Thomas Pink Limited in the year to 31 December 2018 showed operating losses widened 20% to £23.5 million. Revenue also fell to £12.2 million from £15.4 million in the prior year.
In the accounts signed off in September, the business said it remained positive and could “face the challenge [of Covid-19] in the best possible way”.
Earlier this year, its chief operating officer Steve Price left the business to join start-up The Shirt Society as product development director.
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