Private Equity Firm Finally Snags John Hardy

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The brand's signature bamboo design in a silver cuff

The brand’s signature bamboo design in a silver cuff

New York—After months of reported haggling, Catterton Partners, the private equity firm, announced today it acquired John Hardy for an undisclosed amount.

The deal, which Reuters first reported in May, gives Catterton a 22.4% stake held by British private equity firm 3i.

Total proceeds to 3i including the stake, preferred shares and dividend repayments will be around 26 million pounds, with a further 2 million in anticipated deferred consideration, 3i said in a separate statement.

‘Substantial Upside’

While the overall terms of the deal were undisclosed, sources close to John Hardy had given the jewelry an enterprise value—equity plus debt—of between $100 and $120 million.

Damien Dernoncourt, who has been chief executive of John Hardy and its controlling shareholder, will become non-executive chairman and retain a stake in the company, Catterton said.

He will be replaced by Robert Hanson, former chief executive officer of American Eagle Outfitters and former global president of Levi’s.

Meanwhile, creative director Guy Bedarida will continue in his present position as head designer, and Miles Graham will continue to serve as president and chief operating officer, the company said.

Catterton invests mostly in small- to middle-market consumer companies, including Noodles & Company, O.N.E. Coconut Water, OSI Restaurant Partners (Outback Steakhouse), Restoration Hardware, Farley’s & Sathers Candy Company, Inc. and Nature’s Variety. John Hardy is its first jewelry company.

John Hardy's fall ad campaign features supermodel Cara Delevingne in a shoot held in Bali

John Hardy’s fall ad campaign features supermodel Cara Delevingne in a shoot held in Bali

“We are confident that John Hardy offers substantial upside through multiple paths for expansion, and look forward to working with Robert and the entire team at John Hardy to capitalize on new market opportunities and realize the company’s significant potential,” Michael Chu, managing partner at Catterton, said.

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