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12 May

Bluestar Buys Scotch & Soda’s U.S. Operations

The brand new Scotch & Soda is coming into focus — with brand management firm Bluestar Alliance consolidating its ownership of what’s turn out to be a more streamlined operation. 

Along the best way, nearly 20 stores have closed within the U.S.

Bluestar, which acquired the brand out of bankruptcy within the Netherlands last month, prolonged that position on Thursday by buying the Scotch & Soda USA wholesale and retail assets. 

Ralph Gindi, Bluestar’s chief operating officer, told WWD that the U.S. business went through its own restructuring and that his company was picking up a fleet of greater than 30 stores.  

“We’re taking all of the stores that I might say fit the brand and are profitable and make sense in the long run,” Gindi said. 

Scotch & Soda had 46 stores within the U.S. and 4 in Canada after a spate of openings last yr, including recent flagships in Washington, D.C.; Detroit; San Antonio, Texas; and Scottsdale, Arizona. 

The free-spirited brand was founded in Amsterdam in 1985 and got here under the Sun Capital umbrella with a 2011 acquisition. However the private equity giant ultimately couldn’t make the business work and began on the lookout for buyers before the brand succumbed to bankruptcy. 

Now the brand is getting a fresh start and a recent leader. 

Bluestar tapped Anthony Lucia to be global president of its Scotch & Soda USA and global business operations. 

Lucia has greater than 25 years of fashion experience at corporations similar to Hugo Boss, G-Star and Escada. At Scotch & Soda, he’ll oversee what Bluestar described as a continuation of the brand’s “premium retail distribution” with stores and e-commerce. He may even be streamlining and ensuring “a smooth transition across the retail footprint and global brand operations.”

“The brand is currently optimizing its business to enable further expansion and profitable growth,” said Bluestar, which plans to take a position in marketing to drive brand awareness.  

Gindi added that, “It’s going to be a healthy and robust company doubtless.” 

Founded in 2006, Bluestar has built a portfolio of brands that features Scotch & Soda, Hurley, Tahari, Bebe, Justice, Brookstone, Kensie, Catherine Malandrino, Nanette Lepore, English Laundry, Joan Vass and Limited Too.

All together, those brands have retail sales of greater than $6 billion with greater than 300 licenses and greater than 100 stores globally.

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