True Religion’s return to growth may be leading it to new owners.
The denim and apparel brand’s owner, hedge fund Farmstead Capital Management, is considering selling the company, reported CNBC. Farmstead has hired Baird to run the sale process, according to the report.
True Religion has had an up-and-down time of it since its heyday in the early 2000s, including filing for bankruptcy twice, in 2017 and 2020. But it’s been on an upward trajectory the past few years under the leadership of CEO Richard Buckley. In September, the company opened its first new store — and 46th U.S. outpost — in four years, at Atlanta’s Cumberland Mall.
The company is also adding new product categories, including the home market through a parternship with Envogue to license True Religion-branded products for the bed, bath, living room, and kitchen.
True Religion is also expanding its global reach. In March 2023, the chain announced it was expanding into China with partner Aurorae Group, owner of Evisu Group. Plans call for the opening of 65 stores (a mix of freestanding locations and shop-in-shops) by 2026, growing to a total of 108 by 2028. The Chinese market is expected to represent 10% of True Religion’s global brand volume by 2026.
In addition, the brand is expanding its international presence in new markets that include India, Indonesia, South Korea, the Philippines, South Africa, Lebanon and Qatar, bringing its total number of markets outside the United States to 26.