Jimmy Choo sold to Labelux for £500m

Labelux, the private luxury group which already owns Bally, has bought Jimmy Choo for around £500m. Labelux snapped up the shoe firm ahead of a host of rival bids, including the private-equity outfit TPG.

Jimmy Choo was co-founded 15 years ago by the former "IT girl" Tamara Mellon, now chief creative officer. It has been sold four times since being set up, with Jimmy Choo selling his share in 2001. The latest deal could give TowerBrook almost three times what it paid for the business four years ago.

In 2010, the company reported net sales of £150m. Its range now includes handbags, scarves, eyeware, belts, fragrance and, most recently, men's shoes. Reinhard Mieck, chief executive officer of Labelux, said: "Jimmy Choo is an outstanding brand with enormous growth potential and the ability to deliver material growth synergies across our group."