New York fashion label Jwu under designer Jason Wu has been purchased by Chinese private equity fund Green Harbor.

The acquisition was announced on Green Harbor’s WeChat account without disclosing the financial details of the transaction. It is the first time the firm has invested in an American company or an apparel brand.

“China is a critically important market for luxury brands and is an integral part of our growth plans,”  said Jason Wu CEO Eddie Volchko. “Green Harbor’s knowledge and expertise in the Chinese market will be a significant resource to us as we continue to build Jason Wu’s presence in China.”

An 11 per cent shareholding in Jwu was purchased by Chinese firm Zhejiang Semir Garment Co last year.

The deal is likely to boost Jason Wu’s presence in China, which is expected to overtake the US as the largest fashion market this year.

“As Jason Wu further expands its business in the Chinese market,” read the Green Harbor WeChat statement, “our firm’s experience will help the brand reshape its management team, strengthen marketing and sales, and provide resources across media, real estate and finance to help the label develop in China and obtain commercial success.”