JAB Holding has sold its controlling stake in Swiss apparel and accessories label Bally to Chinese textile manufacturer Shandong Ruyi Group, as tipped last month.
JAB, which once owned Belstaff and Jimmy Choo, was said to be seeking US$700 million for Bally in August. The brand was founded in 1851 as a shoemaker.
“The arrival of Shandong Ruyi Group and its vision will significantly accelerate our growth in key segments and territories as we complete the turnaround of this iconic brand,” says Bally CEO Frederic de Narp.
JAB says it will retain a minority holding in Bally, while the majority stake will be controlled by Shandong Ruyi Investment Holding. Under the terms of the agreement, Bally’s management team will reinvest alongside Shandong Ruyi.
Transaction terms have not been disclosed and are subject to closing conditions and customary regulatory approvals.
As majority shareholder, Shandong Ruyi plans to maintain Bally’s DNA and identity. Part of this plan includes keeping Bally’s headquarters and main factory in Switzerland.