Global investment firm, Blackstone, has entered into a definitive agreement for a majority stake in Spanx. The investment will raise the womenswear brand’s valuation to $1.2 billion.
Sara Blakely originally founded Spanx in 2000 with the mission of taking on the male-dominated shapewear and undergarment industry. Blakely started initially by investing $5000 in inventing the first SPANX undergarment in her apartment and writing her own patent.
Since then, Blakely has turned SPANX into a global powerhouse. She was named one of TIME magazine’s 100 Most Influential People in the world and was featured on the cover of Forbes magazine as the youngest self-made female billionaire.
“This is a really important moment in time for female entrepreneurs,” said Blakely. “I started this company with no business experience and very little money, but I cared the most about the customer, and that gave me the courage to launch the company. At SPANX, we have always put the customer at the center of what we do. I am as excited today for the future of SPANX as I was when I started it 21 years ago. Now together with Blackstone, we will have even more opportunity to further our mission of making the world a better place… one butt at a time!”
While Blackstone will be taking a majority stake in the brand, Blakely will maintain significant equity in the business and oversee daily operations. At closing, Blakely will also become the executive chairwoman.
The acquisition will help Spanx accelerate and amplify its digital efforts, expand its global footprint and fuel its commitment to creating innovative products for its customers.
Blackstone’s investment in Spanx follows the company’s move to back a series of female-founded companies, including Bumble, Hello Sunshine, Hotwire Communications and GeoComply.