Growth equity firm General Atlantic has made a minority investment in Australian ready-to-wear and swimwear brand Zimmermann for an undisclosed amount, according to a statement.
The investment will be used to fund the company’s expansion in the US, Europe and other global markets through new store openings, selective wholesale partnerships and e-commerce.
Under the new deal, General Atlantic will join the Zimmermann board and serve as strategic partners but will not adopt an operational role in running the business, a statement said. Zimmermann’s founders and management team will remain majority shareholders in the company.
Sydney-based Zimmerman was founded in 1991 by sisters Nicky and Simone Zimmerman. The brand sells ready-to-wear and swim collections through its online platform, retail stores worldwide and online fashion retailers.
Andrew Ferrer, principal of General Atlantic’s Global Retail & Consumer team said: “As Australia’s leading luxury fashion brand, Zimmermann brings a fresh perspective to the global luxury fashion market with a truly outstanding creative energy and a clear and differentiated design vision. We look forward to working with Zimmermann’s impressive entrepreneurial founders and highly committed team to build upon the brand’s strong momentum.”
General Atlantic has over $17 billion in total assets under management. The firm has previously made investments in global brands including luxury lifestyle brand Tory Burch, makeup company Too Faced Cosmetics, taxi hailing app company Uber, tech business Buzzfeed and home-sharing website Airbnb.
Earlier this year, General Atlantic had invested in Mumbai-based financial services company IIFL Wealth Management, whose clients include some of India’s high net worth families and investors.