The sale of Delpozo has fallen through, casting a cloud over the Spanish designer brand’s immediate future. Spain’s Perfumes y Diseño is again looking for a buyer, after a deal to transfer ownership of the womenswear business collapsed.
In a statement released on Friday, the company said the negotiations with a potential buyer have not reached an agreement. Perfumes y Diseño remains engaged with other parties for the sale of the brand.
The Spanish group announced in September it was in ‘advanced’ talks to sell a part of its stake in Delpozo, with plans to retain a 15% interest in the brand it acquired in 2011. With deep roots in the fragrance sector, the group is keen on reducing its ownership to focus on its core perfume business.
“In 2020, Perfumes y Diseño will focus all efforts on the world of fragrance and cosmetics,” said the company about its short term plans. One of the biggest fragrance specialists in Spain, the group’s portfolio includes brands such as Tous, El Ganso, Starck Paris and Scalpers. It also distributes Goutal Paris, Salvatore Ferragamo and Juliette Has a Gun across various markets, as well as cosmetics brands Ahava and REN Clean Skincare.
The sale collapse is the latest chapter in Delpozo's challenging recent past. Over the past few months, the brand closed its flagship stores in London and Dubai, and pulled out of international distribution deals. It also launched a 95% off clearance sale and shrank the size of its executive team, which led to the departure of CEO Pablo Badia in December.
Relaunched by Perfumes y Diseño in 2012, the brand had at its peak a few years ago some 80 stores and a presence in 34 markets.
Trying to save the womenswear business are executives from Perfumes y Diseñoas well as Lutz Huelle, the creative director who has had no chance to design for the brand since his appointment in 2018, although he recently led a collaboration with US retailer Anthropologie.