Green Sells Stake in Topshop, Topman Brands

Sir Phillip Green of Topshop and Topman (London) has sold a 25 percent stake in the businesses to Leonard Green & Partners (LGP), Women’s Wear Daily reports. The deal valued the brands at $3.22 billion. The Arcadia Group, Phillip Green’s umbrella company for his other retail businesses, now have zero bank debt and are in positive cash as a result of the deal. In addition, the BHS and Dorothy Perkins brands will remain completely owned by Green.

“Having had extensive dialogue over several months, the board felt that LGP becoming our partner would be extremely beneficial,” said Green. “Their experienced management teams and knowledge of retail in the U.S.A. will greatly assist Topshop and Topman with their global expansion.”

The U.S.-based private equity firm LGP has a rich history of investing in retail companies, including Whole Foods Market, Neiman Marcus, Petco, The Container Store and J. Crew.