Global private equity firm The Carlyle Group has invested $20 million for an undisclosed size stake in Chinese women’s fashion house Ellassay.
“Our partnership does not merely focus on capital injection, but more importantly, on shared objectives of how to expand our brand, advantageously deploy Carlyle’s resources and develop Ellassay into a sustainable international brand,” Alan Xia, president of Ellassay, said in a statement.
We maintain our confidence in the Chinese consumer and retail market.
Founded in 1995, Ellassay has more than 280 retail shops across China and has seen its revenues increase by 30 percent to 50 percent annually, according to a statement.
The investment was made by Carlyle Asia Growth Partners (CAGP), which is currently investing out of the $680 million Carlyle Asia Growth Partners III.
“We maintain our confidence in the Chinese consumer and retail market and our commitment to invest in China,” Wayne Tsou, managing director and head of CAGP, said in a statement.
In 2008, CAGP invested in Chinese restaurant chain Babela and fashion sportswear enterprise Xtep.
Carlyle’s Asian growth capital team invests in China, India, Japan and Korea taking a sector-agnostic, country-specific investment approach. The team manages three funds, including Carlyle Asia Growth Partners III, with total assets of more than $1 billion. It has six offices across Beijing, Shanghai, Hong Kong, Mumbai, Tokyo and Seoul.
The firm has four different groups to focus on Asian deals: Carlyle Asia Growth Capital, Carlyle Asia Buyout, Carlyle Japan Buyout and Carlyle Asia Real Estate.
Carlyle Asia Growth Capital has recently promoted Nicholas Shao and Feng Xiao to managing directors. Shao and Xiao are based in Shanghai and Beijing respectively. The firm thiw week promoted four other directors to managing director, and another 18 executives to director.