Blackstone buys Spanx in eight-figure deal

Investment firm Blackstone has acquired a majority stake of womenswear brand Spanx, bringing its value to US$1.2 billion.

Blackstone said the acquisition will allow Spanx to accelerate its digital transformation and online presence, while expanding its global footprint. Spanx’s founder, Sara Blakely, will maintain a significant stake in the business and become executive chairwoman. She and the company’s existing senior management team will continue to oversee daily operations.

“We’re honored that Blakely and her team have placed their trust in Blackstone as their partner of choice to further accelerate Spanx’s digital transformation and growth,” said Ann Chung, Global Head of Consumer for Blackstone Growth.

“We look forward to what the business will achieve with our full set of resources behind it.”

Spanx will join Blackstone’s female-led business investment portfolio, including Ancestry.com, Articulate, and Ellucian.

“This is a really important moment in time for female entrepreneurs,” Blakely said.

“I started this company with no business experience and very little money, but I cared the most about the customer, and that gave me the courage to launch the company.”

Spanx was founded in 2000 by Blakely with her US$5000 saving in hope to take on the male-dominated shapewear and undergarment industry.

Blakely has been named one of Time magazine’s 100 Most Influential People in the world and was featured on the cover of Forbes magazine as the youngest self-made female billionaire. Through her personal foundation, Blakely has given millions of dollars to help elevate other women and in 2013 she signed the Giving Pledge, promising to donate half her wealth to philanthropy.

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