MILAN — The U.S. management of Ciesse Piumini has acquired the Italian down jacket specialist from Sport Brands International.
Ciesse was part of Fila Group, the giant sportswear manufacturer owned by SBI, which is controlled by Cerberus Capital Management, the U.S.-based hedge fund.
Byron Hero, Ciesse’s chief executive officer who was tapped by SBI a year ago as a consultant to turn the brand around, spearheaded the buyout.
The transaction was financed by GEM Global Yield Fund, which is part of GEM Group (Global Emerging Markets), a $1.8 billion investment fund with offices in London, New York and Paris.
According to industry sources, the buyout cost between 8 million and 10 million euros, or $9.8 million to $12.2 million.
Hero estimated Ciesse Piumini’s sales will reach about 60 million euros, or $73.6 million, in three years. Currency conversions were made at current exchange rates.
Angela Ferrario will stay on as Ciesse’s global creative director, a post she has held for the past three years. Her design résumé includes stints at Bobby Jones International and Moncler.
“Ferrario is one of the main reasons behind this deal because in my opinion she is talented, has a great feel for aesthetics and good business sense,” said Hero. “We want to position Ciesse in the high-end fashion segment because our jackets are both technical and fashion-driven.”
In the spotlight for fall are long belted coats, fitted quilted vests and featherweight shrunken styles with patch elbows, made with anything from nylon and Kevlar to microfiber and Loro Piana’s trademark Storm System fabric. Retail prices range from $400 for a technical jacket to $1,500 for a fur-trimmed coat.
The company is also hammering out a distribution plan, which Hero said will be based on directly operated stores, select sales points, consumer catalogues and e-commerce.
“Right now, I’m looking for a store space in New York, preferably on Madison [Avenue] or Lexington while Bergdorf Goodman will have the exclusive for New York,” said Hero. “We’re also negotiating distribution agreements in Japan, Korea and Russia.”
Based in Milan, Ciesse is believed to be the oldest manufacturer of down products in Italy, tracing its origins to a family business in Tuscany. Over the years, Ciesse outfitted Italian expeditions to the Antarctic and the Himalayas, as well as Olympic champions such as Deborah Compagnoni, who recently collaborated with the company on a skiwear line.
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The brand gained widespread recognition in the Eighties thanks to Gianni Agnelli, Fiat’s late chairman and style icon, who wore Ciesse jackets to watch the Juventus soccer team play.