Most Recent Articles In Business
Latest Business Articles
More Articles By
Breaking up might be hard to do, but Sycamore Partners LLC believes its newly acquired Jones Group Inc. properties will run more effectively as independent firms.
A few days after announcing that Stuart Weitzman and Kurt Geiger will be spun off into standalone companies, Sycamore said late Tuesday it will reorganize the remaining businesses at Jones into four independent operating companies: the Nine West Group, a jeanswear company (which will be named later), Jones New York and Kasper Group.
"We believe that this structure will allow each of these businesses to better serve their customers and achieve long-term success," Stefan Kaluzny, managing director of Sycamore Partners, said in a statement. "As independent companies, decision-making will be more closely aligned with the needs of the individual brands and our more than 10,000 associates around the world. We are excited to partner with the leadership of each of these companies to invest in their growth and help them achieve their full potential."
Jones CEO Wesley Card is departing the firm. Richard Dickson, president and CEO of the branded businesses at Jones, is stepping down from his role. However, he will remain on board at Sycamore to assist with the company's portfolio.
Kathy Nedorostek will be CEO of the Nine West Group, which will include footwear, handbags and jewelry. The former Coach executive has been group president of global footwear and accessories at Jones since 2012.
Moving forward, the Nine West Group and the jeanswear company will issue financial reports as Nine West Holdings. As the successor to The Jones Group, Nine West Holdings will provide shared service functions historically provided by The Jones Group.
John McClain will step down as CFO at Jones, but will become a board member at Nine West Holdings and will assist Sycamore Partners with other aspects of the portfolio.
"We are very grateful to the executive leadership of The Jones Group for their many contributions, especially Wes Card, who has dedicated almost 25 years to guiding the company to tremendous growth and success," Kalzuny said in the statement. "We look forward to benefiting from John's experience and insights as we continue to grow Syacmore Partners' portfolio of retail and consumer companies."