Company manages to do well even under such a cash-strapped economy
San Francisco, CA -- (SBWIRE) -- 09/11/2012 -- Clayton Dubilier and Rice have bought David’s Bridal for a deal of $1.05 billion.
The news was confirmed by Clayton, Dubilier and Rice INC. on Tuesday. They stated that they have agreed to buy U.S wedding-dress retailer David’s Bridal in a deal valuing the company at $1.05 billion. The value of the company highlights the attention it has received from retailers offering handsome amounts for the company.
David’s Bridal has been providing an assortment of designer wedding gowns, dresses for special occasions and accessories to go with them at affordable prices.
The company announced a partnership with wedding dress designer Vera Wang for gowns priced under $1,500 two years ago, which proved to be a good collaboration for the company as sales increased.
Bank of America, Merrill Lynch (BAC) and Barclays PLC (BCS) had advised that David’s Bridal is for sale. Major banks like BAC, BCS, Goldman Sachs and Morgan Stanley are providing debt financing.
"The company's strong brand awareness, exceptional service quality, deep product knowledge, and high performance levels are unmatched in the bridal customer segment and that is why we are so excited about the transaction," said CD&R partner Kenneth A. Giuriceo.
Private equity firms have also continued to target retailers with a strong online presence even though the economic downturn has had its adverse effects on the market especially in Europe where the crisis has deterred low-on-cash consumers from making significant discretionary buys.
Experts say that online offerings are essential for retailers to succeed.
"The retailer best placed to gain market share would be the one that perfected its online strategy," said Jon Copestake, chief retail analyst at the Economist Intelligence Unit.
Aimell.com (http://www.aimell.com/) is a great website that has dresses for all of life’s important occasions. From special occasion dresses to wedding dresses, they offer a wide variety at good prices. Aimell has dresses for women of all ages.
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