Carlyle invests $20 mn in women's fashion house Ellassay

Global private equity firm The Carlyle Group announced its US$20 million investment in Ellassay, a high-end Chinese women's fashion house. The investment, funded by Carlyle Asia Growth Partners (CAGP), will enhance Ellassay's product development, brand building, market expansion, business ties and the overall management. Further financial details were not disclosed.

Since opening its first store in Shenzhen in 1995, Ellassay has expanded to a sales network of more than 280 retail shops across the country and has seen revenue increase by 30-50 percent annually. Ellassay has become a top-tier female fashion brand in China that is known for its elegant style. It was recognized as a top Chinese fashion brand of year 2008 by China International Clothing & Accessories Fair. With Carlyle's support, Ellassay aims to continue its growth in China and gain recognition in international markets.

Alan Xia, President of Ellassay, said: "Our partnership does not merely focus on capital injection, but more importantly, on shared objectives of how to expand our brand, advantageously deploy Carlyle's resources and develop Ellassay into a sustainable international brand. In times of economic downturn, it is imperative to set sight on our long-term strategic direction and brand positioning in order to sustain and prosper for years to come. " He added, "This investment is a ringing endorsement of our success story and ability to continue to lead China's fast-expanding high-end fashion industry."

Wayne Tsou, Managing Director and Head of CAGP, said, "This transaction follows our investments in fast growing domestic branded Chinese consumer companies such as restaurant chain Babela and leading fashion sportswear enterprise Xtep last year. We maintain our confidence in the Chinese consumer and retail market and our commitment to invest in China. Carlyle has accumulated extensive experience in brand building and management in the consumer and retail space, which is a core industry focus of the firm. We look forward to sharing with Ellassay our successful experiences and industry ties in the relevant space. We believe further investment in research, resources, talent, channel development, and information technology management systems are beneficial to growing a high-end fashion brand such as Ellassay. "

Founded in 1995, the brand name of Ellassay derived from "Avenue des Champs-Elysees", representing the French-style chic and elegance. Born with internationalized horizon and solid brand equity, Ellassay dedicates to providing modern ladies with apparels of delicate lifestyle. Ever since 1995, Ellassay has started its way of spreading out the charm of the characteristic design. The company expanded from Shenzhen to Guangzhou, and then to Beijing and Shanghai.

News Source : CNGA