Le Tote, a clothing rental subscription company, has reached an agreement with the Canadian department stores to buy its chain, on sale since last May.
Clothing rental subscription business takes a new turn. The company Le Tote, specialized in providing its users with monthly boxes of items that can be returned after used, reached an agreement with the Canadian department stores Hudson’s Bay to buy its chain Lord&Taylor for 100 million dollars.
The agreement rises to 75 million dollars and the commitment of another 25 million in two years. Besides that, Hudson’s Bay will enter the capital of Le Tote and will take two chairs in its board of directors and rights as a minority shareholder.
Lord&Taylor, that Hudson’s Bay placed up sale last May, closed its fiscal year 2018 with a revenue of 1.4 billion dollars. Through this agreement, Le Tote takes the brand, including its intellectual property, its digital channels, its stocks and the 38 stores of the company.
Le Tote, founded in 2012, provides its users with monthly boxes of items that can be returned after used
Despites closing its flagship store in Fifth Avenue in New York, Lord&Taylor still supports in the popularity of the brand, particularly its gowns.
Le Tote, founded in 2012, supports its business model in a system of monthly boxes of items that can be returned after used, and cost between 69 and 119 dollars per month. The company works with brands like Nike, Free People, Calvin Klein, Kenneth Cole, Kate Spade or French Connection amongst others.