by Brian Lipton

ReissReiss Holdings, owner of the global men’s and women’s fashion and accessories brand Reiss, has announced that an affiliate of Warburg Pincus, a leading global private equity firm focused on growth investing, has entered into an agreement to acquire a majority stake in Reiss Holdings. The new capital will allow Reiss to expand further both in the UK and internationally, particularly in North America, Asia and Australia.

David Reiss, the founder and current chairman and CEO of the 45-year-old brand, Reiss will retain a significant investment in the business and will remain as chairman and CEO. The company has now been valued at £230 million ($327 million), and has generated sales of £146 million ($207 million) and EBITDA of £24.4 million ($34.7 million) in Fiscal Year 2015.

I am delighted to be working with Warburg Pincus as we take Reiss to the next stage of its development,” said David Reiss. “We have built a great business providing our customers with timeless luxury at affordable prices and I am confident that working together we will be able to build Reiss into a truly global fashion brand. I would like to thank all of the people who have worked with me over many years for their contribution to the success of Reiss and look forward to being part of the next phase of the Reiss journey.”

Added Paul Best, managing director at Warburg Pincus: “As long-term growth investors, we look forward to partnering with David and his team and supporting the global expansion of Reiss. The business has built an enviable position in its core UK market, with a broad and loyal customer base, and we believe there is a significant opportunity to build on this success and accelerate development internationally.”

Morgan Stanley acted as sole financial advisor to Reiss Holdings while Squire Patton Boggs acted as legal advisor. Financo acted as financial advisor to Warburg Pincus while Freshfields Bruckhaus Deringer LLP acted as legal advisor.