L Brands cedes majority control of Victoria’s Secret to Sycamore Partners

Internationally known, through Victoria’s Secret, PINK and Bath & Body Works, with a total enterprise value of $1.1 billion, L Brands operates 2,920 company-owned specialty stores in the United States, Canada, the United Kingdom, and Greater China. Its brands are also sold in more than 700 franchised locations worldwide. On top of which, L Brands is world-renowned for the Victoria's Secret Fashion Show and its famous Angels. 

The buyer, Sycamore Partners, specializes in consumer and retail investments.  The sale is being done in hopes of reinvigorating Victoria’s Secret's market-leading businesses and returning them to historic levels of profitability and growth.  The sale, of 55% of the capital for approximately $525 million, will also accompany a change in governance. Leslie Wexner, current Chairman and Chief Executive Officer of L Brands, will be stepping down and become Chairman Emeritus. 

Wexner stated that "We believe the separation of Victoria’s Secret Lingerie, Victoria’s Secret Beauty and PINK into a privately held company provides the best path to restoring these businesses to their historic levels of profitability and growth," he then continues to say "We are pleased that, by retaining a significant ownership stake, our shareholders will have the ability to meaningfully participate in the upside potential of these iconic brands."