Dion Lee sold to US fashion retailer Revolve Group
Australian fashion label Dion Lee has been acquired by US-based Revolve Group for just under ~$1 million, following the brand's collapse into administration last year.
Transaction snapshot
Deal value: ~$1 million
Deal multiples: N/A
Deal type: Asset sale (intellectual property and archives)
Investors: Revolve Group
Dion Lee entered voluntary administration in May 2024, burdened with debts exceeding $35 million. The brand had been financially supported by a A$20 million loan from Cue Clothing Co, which held a majority stake. Following Cue's withdrawal, the company struggled to remain solvent.
During the administration process, insolvency firm dVT Group managed the sale of over 40,000 items, recovering approximately $9 million for creditors. Subsequently, the remaining assets, including the brand's intellectual property and archives, were sold to Revolve Group.
Revolve Group, a Nasdaq-listed e-commerce retailer with a market capitalisation exceeding US$2.3 billion, targets Millennial and Generation Z consumers. The acquisition of Dion Lee aligns with Revolve's strategy to expand its portfolio of contemporary fashion brands.
Designer Dion Lee, who founded the label in 2009, is expected to continue as the brand's creative director under the new ownership. The acquisition by Revolve Group provides an opportunity for the Dion Lee brand to revitalise its presence in the global fashion market.
