The new company, which includes $9 billion in revenue at launch, 60,000 employees and over 1,800 store locations, will operate out of JCPenney’s Plano headquarters. In addition to JCPenney and its private brands, Catalyst Brands will include Aeropostale, Brooks Brothers, Eddie Bauer, Lucky Brand and Nautica, according to the news release.
“Catalyst Brands brings together the rich heritage of six unique brands with modern energy and a new vision for success,” Catalyst Chief Executive Officer Marc Rosen said in the news release. “The word ‘catalyst’ reflects our drive to accelerate innovation and energy and amplify the impact of this powerhouse portfolio. Together, we bring scale, expertise and broad appeal to customers across America.”
The details
The Catalyst Brands organization was created through an all-equity transaction between JCPenney and SPARC Group, with shareholders Simon Property Group, Brookfield Corporation, Authentic Brands Group and Shein, per the news release.
In addition to the transaction, Catalyst sold the U.S. operations of Reebok and is exploring strategic options for Forever 21’s operations, according to the news release.
“Our relationships with more than 60 million customers and the deep data we have create a compelling consumer value proposition across our brands,” Rosen said. “We can design a more personalized shopping experience, offer unified loyalty and credit card programs, and ultimately, cross-sell more effectively.”
