Australian department store chain David Jones sold to private equity firm

South African-based retail giant Woolworths Holdings Limited (WHL) is selling upmarket Australian department store chain David Jones to a private equity firm.

It marks a return to Australian ownership for the 185-year-old retailer, which was bought by WHL in 2014 for 2.1 billion dollars, and will now be taken over by Anchorage Capital Partners. A price tag for the new deal was not disclosed.

New owner Anchorage said Monday it has entered a binding agreement to acquire the operating business of David Jones, with the transaction expected to close by the end of next March.

Anchorage said it “looks forward to working with David Jones’ chief executive Scott Fyfe and his leadership team to support David Jones through its next chapter of growth”.

“Under this team’s stewardship, David Jones is now profitable, cash-generative, and self-funding, and we are confident in David Jones’ next chapter as the retailer of the future with a seamless omnichannel experience,” a spokesperson from Anchorage said

Storied Australian retailer

Founded in 1838, David Jones is a premium omnichannel fashion retailer which carries brands including Gucci, Dior, Yves Saint Laurent, Off White, Balenciaga, Ralph Lauren, and Tommy Hilfiger.

The company has 43 stores and two distribution centres across Australia and New Zealand, as well as a “rapidly growing” e-commerce business. The company has also recently invested in revitalising flagship stores in Melbourne and Sydney.

“David Jones has a storied history, immense brand value and unparalleled assets - including an attractive retail footprint, a loyal customer base, and dedicated employees,” the Anchorage spokesperson said.

David Jones CEO Scott Fyfe added: “Together, we see many opportunities to optimise value and innovation in the David Jones business as we enter a new phase of growth.”