Bear Stearns Merchant Banking has sealed a deal to snap up a sizable stake in upscale women’s shoe designer Stuart Weitzman Holdings.
Yesterday, BSMB – the private equity arm of Bear Stearns – said it would buy a minority position in Stuart Weitzman, one of the biggest suppliers of better-priced women’s shoes to department stores such as Saks Fifth Avenue, Bloomingdales and Nordstrom.
Financial terms were not disclosed, but sources say BSMB is investing more than $100 million for between 35 percent and 45 percent in the company. The deal allows Weitzman, the company’s 63-year-old founder, to retain control.
The Post first reported on April 9 that the two parties were in negotiations.
The announcement marks the culmination of Weitzman’s years-long search for the right partner to help expand the business beyond shoes, which currently account for more than 90 percent of the company’s revenue.
“In our search to meet Stuart’s objectives, we talked to several potential strategic and financial partners,” said Gilbert Harrison, chairman of Financo Inc., which served as Weitzman’s financial advisor. “But Bear Stearns offered the most flexibility in terms of allowing Stuart to continue running the company.”
For BSMB, partnering with Weitzman gives the firm an opportunity to help expand a well-established brand name and successful business.