Why has Lorna Jane shelved a $500 million sale of her activewear empire?
Lorna Jane has issued a statement revealing the sale has been axed to focus on greater international expansion.
The decision follows a six month process, involving interest from over 40 parties, to find a new equity partner.
This follows a four year relationship with Champ Ventures, which owns a 40 per cent share of the company.
Company CEO Bill Clarkson said he and founder Lorna Jane needed to maintain control in order to expand the brand globally.
“Lorna and I were offered a lot of money to hand control to someone else, but we realised our vision of creating a global brand would never happen unless we were both in the driver’s seat, so the decision was simple after that,” Clarkson said.
“I’m very pleased to say that Champ has agreed to remain in the business and we will retain controlling interest to ensure Lorna Jane becomes the next truly great global Australian lifestyle brand.
“The best is most certainly yet to come for Lorna Jane as we enter a time where the activewear market is booming as it crosses into mainstream, which was Lorna’s vision when she started the business 25 years ago,” he said.
Lorna Jane Clarkson will continue as head designer, where she oversees creation of up to 100 new designs every month.
Champ Ventures will retain its stake in the firm.
Lorna Jane operates more than 170 stores worldwide and 45 international stockists.