The race to save Escada is on as the fashion industry struggles to save the tanking fashion brand that has been a name and force in the industry for years. But regardless of Escada’s financial situation, the brand is still a potential goal mine to the right party. So what’s the scoop and what players are involved? Here are the players:
Prospective Buyer: The New York Post is reporting that Facconable may be trying to buy. Why? Well Faconnable was recently purchased by M1 Group from Nordstorm for $210 million and the Escada group of consumers are upscale and great companions to the Facconable brand.
The Plan: M1 Group plans to combine Escada with Faconnable to create one single brand while managing to keep them separate on the creative end. They support the current Escada CEO, Bruno Salzer.
Prospective Buyer: Megha Mitttal is also interested. Meghan is the daughter in law of Lakshmi Mittal, the billionaire Indian Steel mogul.
The Plan: Mittal’s plan is unkown as of now, but they support the current CEO, Bruno Salzer as well.
Prospective Buyer: Sven Ley who happens to be the son of the original Escada founder Wolfgang Ley wants Escada as well. He owns St. John Knits and the Escada consumer base would also fit very well within his brand portfolio.
The Plan: Ley is pulling out the big guns by recruiting former head of Gucci, Giacomo Santucci and ZSL Partners (Italian investment group that owns Rinascente and Printemps department stores in Italy and France) to pay about 80 million euros for Escada. Ley also plans to get rid of the current CEO and bring Santucci as CEO.
Who will win? No one knows right now. The Munich Municipal court will decide in the next few days.
