Spotting opportunities for growth in the fast-moving fashion market

Contemporary & Accessible Fashion Spot On

In the ever-changing world of fashion, disruption continues to shape the industry both on and off the catwalk: we look at six decision-influencing trends. Also in this edition, Oaklins’ specialist Federico Giammarusto outlines the sector’s transformation over the last decade and the subsequent impact on M&A activity. With celebrities lacking industry experience starting their own brands and manufacturers venturing into marketing, there is plenty of scope for investment and mergers. Likewise, the growing demand for accessible fashion may drive further activity with entrepreneurial companies that find they can only expand their business via M&A.

Contemporary fashion has invaded the global market, from high- to low-price merchandising. We are expecting a return to the basics of design and tradition. This could drive a further wave of M&A because new businesses may understand that momentum is about to slow and they can put their companies on the market. Accessible fashion has pushed a lot on the market, and there’s a size limit on the expansion of entrepreneurial companies. M&A could be the only way to enlarge a business. FEDERICO GIAMMARUSTO, OAKLINS CONTEMPORARY & ACCESSIBLE FASHION SPECIALIST

Spotlight

We turn the spotlight on the acquisition of British luxury menswear brand Orlebar Brown by French fashion giant Chanel. Oaklins Cavendish, based in the UK, advised the pioneering resort-wear maker on the transaction. The team built up a detailed understanding of Orlebar Brown’s business in order to generate international interest and find the right fit for the company, which has important synergies with Chanel’s female swimwear brand Eres.

We chart recent M&A activity, in which the cooling effects of Brexit, the trade wars and new trade rules can be noted, and examine the upcoming M&A trends in fashion & retail.