Scotch & Soda’s U.S. operations acquired with eye to expansion
Scotch & Soda is getting a new start in in the U.S.
Bluestar Alliance has acquired the U.S. -based wholesale and retail assets of Dutch fashion brand Scotch & Soda. (In March, a separate affiliate of the New York-based brand management firm acquired the brand out of bankruptcy in the Netherlands.) Financial services platform B. Riley Financial participated in the acquisition and has acquired an equity interest in the brand.
Scotch & Soda has been busy expanding its global footprint, opening nearly 40 stores during the past year, including locations in North America. Recent openings include Washington, D.C., Boston, San Antonio, Texas, and Scottsdale, Ariz. It had approximately 46 U.S. stores prior to its filing. But it has closed about 20 of those locations since then.
Bluestar has appointed Anthony Lucia as global president of Scotch & Soda USA and global business operations to oversee and expand the brand. Lucia has more than 25 years of fashion experience at companies that include Hugo Boss, G-Star and Escada.
Under Lucia's leadership, the Scotch & Soda's strategy is to continue its retail distribution, which includes operating retail stores and an e-commerce platform. He will streamline and ensure a smooth transition across the retail footprint and global brand operations, the company said.
“We are excited to welcome a veteran fashion executive to take the helm of the Scotch & Soda business," said Ralph Gindi, COO,. Bluestar Alliance. "Scotch & Soda is known across the globe for its ties to Amsterdam and fine craftsmanship of trendsetting product, and we want to introduce the brand to new consumers especially here in the US."
The Bluestar portfolio consists of major department store retail brands including Scotch & Soda, Hurley, Tahari, Bebe, as well as Justice, Brookstone, Kensie, Catherine Malandrino, Nanette Lepore, English Laundry, Joan Vass and Limited Too.
B. Riley established its brands portfolio in October 2019 with the purchase of assets and intellectual property related to six brands: Catherine Malandrino, English Laundry, Joan Vass, Kensie, Limited Too and Nanette Lepore. It expanded the portfolio through its participation in Bluestar's acquisitions of Hurley and Justice in November 2019and December 2020, respectively.
“This investment builds on the success of our long-standing relationship with Bluestar and enhances our existing brands business, said Bryant Riley, chairman and co-CEO, B. Riley Financial. “Our brands portfolio has generated meaningful returns for B. Riley since the inception of this business on our platform at the end of 2019. We intend to pursue additional opportunities to enhance this business in line with our stated strategy to expand and diversify our sources of steady and recurring earnings."