Aritzia just bought Fred Segal for an undisclosed sum from Fred Segal Family LLC. Aritzia also secured a lease for its original flagship location at 8100 Melrose Avenue in Los Angeles with plans to restore it to its former (and oh-so-iconic) ivy-clad glory.
Fred Segal on Melrose (Courtesy)
“Fred Segal has long been a cultural touchstone in Los Angeles—a place where creativity, community and style converge,” said Jennifer Wong, chief executive officer of Aritzia, in a statement released today. “We are honored to steward and evolve this iconic brand for a new generation with the elevated experience and ‘everyday luxury’ that define Aritzia.”
Fred Segal founded his eponymous brand in 1961 and it soon became synonymous with LA and its stylish and laid back aesthetic. The store was featured in shows including Beverly Hills 90210 and Dawson’s Creek.
It was even name checked by Cher Horowitz in the greatest film of the ‘90s: Clueless.
“Lucy! Where’s my white colorless shirt from Fred Segal?”
Clueless (Paramount Pictures)
Unfortunately, the brand has been in a state of decline for a while now, closing multiple stores over the last few years including their Sunset Boulevard and Malibu locations in 2024.
Aritzia plans to restore the Melrose location and turn it into a “experiential destination that reflects the creative spirit that has defined both brands.”
“The space will bring together curated product and immersive experiences that transcend traditional retail while also serving as a dynamic lifestyle hub,” they said. “Our focus now is on revitalizing the Fred Segal brand across product and retail, with the goal of reestablishing it as a true destination.”
The Fred Segal purchase also expands Aritzia’s presence in the broader menswear market. While Aritzia itself does not sell men’s clothing, in 2021 they bought a 75 percent stake in CYC Design Corporation — parent company pf Canadian menswear brand Reigning Champ — securing the remaining 25 percent in 2023.
“This was an opportunistic acquisition that aligned with our strategic priorities,” they said. “We remain focused on executing our three key growth levers — geographic expansion, e-commerce growth, and increased brand awareness, particularly in the U.S.
“For more than 40 years, Aritzia has built a reputation transforming retail into an immersive world of design, culture and connection — delivering beautiful products, aspirational spaces, highly personalized service and captivating communications. With the acquisition, Aritzia will bring that ethos to Fred Segal, honoring the brand’s storied heritage while reimagining its future for a new generation.”
In other fashion acquisition news:
EBay just bought Depop from Etsy for $1.2 billion cash. Etsy bought Depop in 2021 for $1.6 billion, which means they sold the company at a loss. For more on this, check out the video below from @sammicohen talks. And if you’re not following her, you should; she always has great insights into the business of fashion and the the rise and fall and buying and selling of major consumer brands.
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