Zimmermann sisters sell fashion label in reported billion-dollar deal
Sisters Nicky and Simone Zimmermann have set the bar higher than a supermodel’s scrunchie for fashion rivals after the sale of their womenswear company to US equity firm Advent International.
An undisclosed offer by Advent was accepted for the rapidly expanding label Zimmermann on Tuesday that leaves the Sydney-based sisters and previous investors Style Capital with significant minority shareholdings. Last month, Advent reportedly made an unsolicited offer of $1.75 billion for the business.
Sisters Simone (right) and Nicky Zimmermann co-founded the fashion label Zimmermann, which spans swimwear, gowns and accessories. Simone works as the brand’s chief operating officer while Nicky focuses on design as creative director.Credit: Antoine Doyen
“There are so many exciting opportunities for Zimmermann ahead and Simone and I feel extremely fortunate to be going on this journey with our team, one that started nearly 30 years ago at Paddington Markets in Sydney,” Nicky, co-founder and creative director of Zimmermann, said in the sale announcement.
Co-founder Simone works as chief operating officer for Zimmermann, which has been worn by Kendall Jenner, Taylor Swift, Princess Catherine and Beyoncé.
In 2020, when Italian firm Style Capital bought a 70 per cent stake in the company for $408 million, with Nicky and Simone retaining 30 per cent, the deal was seen as the boldest Australian fashion move since Sass & Bide founders Heidi Middleton and Sarah Jane Clarke, sold 65 per cent of their business to Myer in 2011 for $42 million.
Since 2020, Zimmermann has expanded throughout the US and Europe, most recently opening boutiques in Barcelona in March and Hawaii in April, bringing their global store total to 58. The brand also shifted from showing collections at New York Fashion Week to the official schedule in Paris in October last year, abandoning Australian Fashion Week way back in 2012.
The Zimmermann resort 2024 collection, launched in June.
While retaining a design studio in Sydney, a second Zimmermann studio was recently launched in Paris.
“It’s in its early stages, but I’m really enjoying the process of working with so many talented people both here at home and in Paris,” Nicky said in June, while launching their resort collection. “We’re really building on the pieces around the collection – our jewellery, shoes, and accessories. It’s great fun for me.”
In today’s announcement, Advent, which also invests in activewear giant Lululemon, singled out the Middle East and Asia for further expansion.
“Zimmermann presents a rare and exciting opportunity to acquire a fast-growing iconic luxury fashion brand with significant potential for further expansion,” says Ranjan Sen, managing partner at Advent. “The Zimmermann team have successfully created a distinctive and desirable global luxury brand, which has built a loyal customer base around the world.”
Global markets are a long way from the trestle tables at Sydney’s Paddington markets, where the careers of Sass & Bide and Dinosaur Designs also started.
Since dipping their toes into fashion with swimwear at the markets, Zimmermann expanded into womenswear with their dresses acquiring greater design integrity, details and quality fabrics over the years.
Prices have also grown, with dresses this season ranging from $495 to $3500 for a printed silk organza dress with a lace bodice.
The label is confirmed to show its spring/summer 2024 collection at Paris Fashion Week, which starts in September.
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