Financial pressures have Vince Holding Corp. looking elsewhere — to sister brand Rebecca Taylor — to help it with some purchase-order financing in case liquidity problems arise.In a regulatory filing with the Securities and Exchange Commission, or Form 8-K, Vince said a subsidiary has an agreement with Rebecca Taylor for it to purchase some Vince-branded finished goods from approved suppliers. Rebecca Taylor would then resell the goods to Vince at a price that is equal to 103.5 percent of the price it paid, or at a 3.5 percent premium.The purchases would require Rebecca Taylor to apply for letters of credit under its own credit facility, subject to availability under the financing line. Once the merchandise is delivered, Rebecca Taylor would invoice Vince, which in turn has to pay within two business days of receipt of the invoice. The filing said Rebecca Taylor could extend the payment term and has the right to liquidate the goods if Vince fails to pay in a timely fashion.The arrangement is unusual, but doable as both firms are connected to Boca Raton, Fla.-based private equity firm Sun Capital Partners.Sun Capital acquired Kellwood Co. for $762 million in 2008. That deal gave it Vince, which was already in the Kellwood portfolio from a 2006 acquisition. Sun later took Vince public in an initial public offering in 2013 that raised $200 million. It still owns a stake in Vince. Separately, in 2011, Kellwood acquired Rebecca Taylor for an undisclosed amount, although funding for the deal was through both Kellwood and Sun Capital. In 2016, Sun Capital sold what was left of Kellwood — women’s and junior’s apparel lines Rewind; JAX, and Briggs New York and a private label business, among other labels — to an unnamed Hong Kong investor group for an undisclosed amount, but retained the Rebecca Taylor, Devlin and Parker brands.Speaking of the new financing agreement, a Vince spokesman said, “The program is set up to be flexible to address our business needs as we monitor them.” That means the agreement is a form of back up financing in case Vince hits liquidity constraints from limitations or covenant restrictions on its own recently amended term loan and revolving credit line.As for how long the agreement is in place for, “There is no initial term,” according to the spokesman. The regulatory filing said either side could end the agreement on 60 days’ written notice.
Harrods plans to remove the famous statue of Princess Diana and Dodi Al Fayed from the bottom of the Egyptian escalators and hand it back to Mohamed Al-Fayed. “We are very proud to have played our role in celebrating the lives of Diana, Princess of Wales and Dodi Al Fayed at Harrods and to have welcomed people from around the world to visit the memorial for the past 20 years,” said Michael Ward, Harrods managing director. “With the announcement of the new official memorial statue to Diana, Princess of Wales at Kensington Palace, we feel that the time is right to return this memorial to Mr. Al Fayed and for the public to be invited to pay their respects at the palace.” More on the news, with reporting by @loreleimarfil, at WWD.com. #wwdnews
@prada is introducing a new project at its men’s fall 2018 show this Sunday: “Prada Invites.” The fashion house invited four celebrated creative minds – @ronanaerwanbouroullec, Konstantin Grcic, @herzogdemeuron and @rem.koolhaas – to each create a unique item with its iconic nylon material. The designs will be unveiled on the runway show, which will take place at the company’s warehouse in Viale Ortles 25. #wwdfashion #mfwm (📷: @martinocarrera)
@kering_official is spinning off its stake in puma in an effort to focus on its luxury brands, the brand operator announced yesterday. “We are proud to have supported the turnaround of Puma, which now has unrivaled capabilities to take full advantage of the specific dynamics of its global markets and is poised to achieve substantial growth,” said François-Henri Pinault, Kering’s chief executive officer and chairman. Artémis will become a “long-term strategic shareholder” of Puma with a 29 percent stake. #wwdnews #wwdfashion (📷: @jilliansollazzo)
The fashion world mourns for celebrated street style photographer, Nabile Quenum, who died at age 32 in Paris.
Quenum, creator of the fashion blog “J’ai Perdu Ma Veste,” was a fashion week fixture, and regularly shot for New York magazine’s The Cut, among other outlets, and brands such as Louis Vuitton, Moncler and Adidas. He was also actively involved in the #NoFreePhotos initiative, which kicked off in the fall. Read more about Quenum in @kbsmoke's story on WWD.com. #wwdnews
@verwanggang and @maisonladuree have teamed up on a dessert collab called Vera Wang Pour Ladurée. The collection, which launched this week, features a specialty macaroon, as well as a wedding cake inspired by one of the designer’s gowns. “I could not imagine a more delicate or sophisticated creation to grace any couple’s celebration,” said Wang. #wwdfashion