FREMONT, CA, & NEW YORK — Tailored Brands Inc. struck an agreement to sell its Joseph Abboud trademarks to WHP for $115 million and signed a licensing agreement for the exclusive rights to sell and rent the brand for apparel and accessories in the U.S. and Canada. Tailored, which bought the Abboud brand in 2013 for $97.3 million, had been seeking a buyer for it since last fall.

“The Joseph Abboud brand has played and will continue to play an important role in the assortment at our retail brands and we look forward to our new partnership with WHP and to the next phase of our relationship with the designer Joseph Abboud,” said Tailored Brands President and CEO Dinesh Lathi. “This transaction allows us to unlock value in the Joseph Abboud trademarks through an experienced partner that will focus on building the brand through international and category expansion. We plan to use the proceeds from the transaction for debt repayment, which will strengthen our balance sheet and provide additional financial flexibility to invest in our customer-facing transformation strategies.”

WHP Global CEO Yehuda Shmidman added, “With over 30 years of heritage, the Joseph Abboud brand has cemented its position as one of the most established and trusted brands in fashion. We are excited to have the opportunity to invest in the next chapter of growth for the brand in close partnership with Dinesh and his team at Tailored Brands, and around the world with current and future partners.”

WHP Global is a New York based brand acquisition and management firm backed by funds managed by Oaktree Capital Management, L.P. and with financing from BlackRock. Following the close of the transaction announced today, WHP will have over $1.4 billion in retail sales across its portfolio of brands including Anne Klein and Joseph Abboud.

The designer Joseph Abboud, who will be leaving Tailored Brands Jan. 31 after eight years as Chief Creative Officer, to pursue new opportunities in the global fashion community said, “I want to thank Tailored Brands for our partnership over the past eight years. We’ve accomplished a great deal together as we’ve built one of the leading menswear brands in the U.S. and Canada.” Tailored will continue to operate the Joseph Abboud flagship store in New York that opened in 2015, but the ecommerce domain name shifts to WHP.  A licensing agreement with Tru Fragrance for a Joseph Abboud men’s fragrance that launched in 2018 also wasa transferred to WHP.  Abboud founded the brand in 1987.

Tailored Brands will continue to own and operate the factory in New Bedford, Massachusetts, that manufactures quality U.S. made tailored clothing. The agreement is expected to close by the end of March, subject to satisfaction of certain closing conditions. Tailored, formerly Men’s Warehouse, operated 1,464 stores as of Feb. 2 under the Men’s Warehouse (719), Jos A. Bank (484) and other brands.

PJ SOLOMON served as financial advisor to Tailored Brands on the transaction and Ferdinand IP Law Group served as legal advisor. Pryor Cashman LLP and Kirkland & Ellis LLP served as legal advisors to WHP Global.

About WHP Global

WHP Global is focused on the future of brand management. The New York-based firm specializes in acquiring global consumer brands and strategically investing in high-growth distribution channels and global digital commerce platforms, in addition to introducing new product categories that are relevant to today’s consumer. For more information, visit www.whp-global.com.

About Tailored Brands, Inc.

Tailored Brands is a leading omni-channel specialty retailer of menswear, including suits, formalwear and a broad selection of business casual offerings. We help our customers look and feel their best by delivering personalized products and services through our convenient network of stores and e-commerce sites. Our brands include Men’s Wearhouse, Jos. A. Bank, Joseph Abboud, Moores Clothing for Men and K&G.

Contacts

Tailored Brands, Inc.:
Investor Relations
Julie MacMedan, VP, Investor Relations
Tailored Brands, Inc.
(281) 776-7575
ir@tailoredbrands.com

Media Relations
Diego Louro
PR Director
diego.louro@tailoredbrands.com

WHP Global:
Jaime Cassavechia
jaime@ejmediagroup.com