AUTHENTIC BRANDS GROUP AND SAKS GLOBAL LAUNCH NEW LUXURY PLATFORM: AUTHENTIC LUXURY GROUP

by John Russel Jones Oct 09, 2024


Authentic Brands Group and Saks Global (including Saks Fifth Avenue and Saks OFF 5TH) are partnering to launch a new joint venture, Authentic Luxury Group (ALG). This innovative venture will house Authentic-owned and accessible luxury brands, including Barneys New York, Judith Leiber Couture, Hervé Léger, and Vince.

ALG will serve as an incubator for brand growth through licensing agreements and distribution channels across sectors, including fashion, retail, digital, hospitality, real estate, art, and travel. Barneys New York will be the first brand positioned for accelerated growth under the ALG platform. ALG will also extend its brands beyond fashion and into lifestyle categories, similar to the Barneys New York Residences, which opened in Tulum, Mexico earlier this year. ALG will also showcase the world’s most prestigious destinations through exclusive real estate partnerships to develop branded luxury residences, condominiums, and hotels.

Jamie Salter, Founder, Chairman, and CEO of Authentic, said, “The creation of ALG represents years of successful collaboration under our initial licensing agreement with Saks for Barneys New York. Building on our complementary strengths, ALG will further cultivate our brands by creating a multifaceted environment that reaches a broader audience through a wide range of offerings and experiences. Our shared commitment to excellence and strategic vision positions us at the forefront of modern luxury.”

Richard Baker, Executive Chairman of Saks Global, said, “With ALG, we are able to further our efforts to serve the full continuum of luxury consumers. We always strive to use our platform to give both established and emerging brands greater opportunities to extend their reach in luxury fashion, and this new platform will do just that. We are proud to further enhance our partnership with Authentic and leverage our collective capabilities to unlock access to new audiences and reimagine the luxury experience.”

Through its focus on innovation and global expansion, ALG aims to generate growth opportunities and create value for its strategic licensing and distribution partners, each of which brings distinctive positioning, loyal followings, and significant global potential:

  • Barneys New York: Besides its significant presence in Japan and namesake beauty line, Barneys New York recently launched a captivating collaboration with Hourglass. A pop-up store on Prince Street in New York City has complemented this initiative, showcasing a curated collection of luxury art and fashion, a coffee truck by the renowned Freds, and a series of notable events, highlighting a promising opportunity for expansion under ALG’s leadership. The brand’s expansion will also include an enhanced presence at Saks Fifth Avenue, a strengthened retail footprint, a dedicated ecommerce platform, and the launch of Barneys New York residences.
  • Judith Leiber Couture: Judith Leiber Couture has amassed an influential following of celebrities, artists, and influencers worldwide. From runways to red carpets and city streets, the brand is celebrated for its unique and whimsical designs. Inspired by pop culture, Judith Leiber Couture creates captivating novelty bags that turn heads and spark conversation.
  • Hervé Léger: Known for its iconic bandage dress, Hervé Léger is a timeless symbol of glamour, consistently redefining modern fashion with its signature body-contouring designs. Michelle Ochs’ modern interpretations have broadened the brand’s appeal, making it suitable for a wider range of occasions from daytime to evening.
  • Vince: Synonymous with effortless luxury and modern sophistication, Vince continues to elevate everyday essentials with its timeless designs and high-quality craftsmanship. Known for its clean lines, neutral tones, and versatile pieces, Vince has built a strong following among those who value understated elegance. Since acquiring the brand just over a year ago, Vince’s global expansion into markets underscores its growing appeal with 65 retail stores across the US, UK, and China.

The formation of ALG is subject to the finalization of definitive documentation.

HBC announced the formation of Saks Global in connection with its proposed acquisition of Neiman Marcus Group, the parent company of Neiman Marcus and Bergdorf Goodman. The acquisition remains subject to customary closing conditions. Following closing, Authentic will make a minority investment in Saks Global.