Count Vince as the most recent fashion brand to return into the orbit of Authentic Brands Group. 

In what was dubbed “a transformative strategic partnership,” Vince Holding Group plans to transfer its mental property to a newly formed Authentic subsidiary, ABG Vince, in return for $76.5 million in money and a 25 percent membership interest within the subsidiary.

Vince will proceed as a publicly traded company and plans to make use of proceeds from the deal to extend its working capital and repay the $27.7 million outstanding under its term loan credit facility. 

Together with the partnership, the 2 signed a 10-year license that may allow Vince to proceed running its current operations with the choice for eight 10-year renewals.  

Jack Schwefel, chief executive officer of Vince, said the partnership “will provide us the crucial capital to strengthen our balance sheet allowing for opportunities to boost our concentrate on driving margin expansion, and specializing in our strategic growth initiatives.”

These initiatives include making full use of the corporate’s e-commerce capabilities, expanding its international presence, growing the lads’s business and opening stores within the U.S. 

Jamie Salter, founder, chairman and CEO of Authentic, said: “We’re excited to partner with Jack and the VNCE management team as we expect to mutually profit from the strength of the Vince brand that has been developed over the past 20 years. The addition of one other luxury brand to our formidable portfolio is timely as we see demand for luxury goods growing in key markets all over the world.”

The deal is predicted to shut within the second quarter of this yr.