True acquires majority stake in kidswear brand Frugi

Private equity house True has acquired a majority stake in organic baby and kids clothing brand Frugi, and announces new chief executive to support the brand’s “ongoing scalable growth”.

In a press statement, True stated that it would work with the existing management team to support Frugi’s expansion plans, while adding that Hugo Adams, former executive board director of Superdry and chief of staff at Marks and Spencer, will join as chief executive.

Frugi, which designs, manufactures and sells sustainably-sourced organic cotton apparel and accessories for babies, children and new mothers, primarily sells its products via its welovefrugi.com website, alongside retail partners including John Lewis, Zalando, Next and independent stores.

The ethical brand was founded in Cornwall by husband and wife team Lucy and Kurt Jewson in 2004 and received the Queen’s Award for Enterprise in 2014. In its manufacturing, Frugi uses only organic cotton or recycled plastic bottles (it recycles 36 to make one of its winter jackets) and donates 1 percent of its annual revenue to good causes.

Frugi sells majority stake to True to support growth

Paul Cocker, True’s co-founder said: “We invest in businesses, teams and people who forge retail and consumer change. True’s very first investment was pureplay childrenswear e-commerce business, Alex&Alexa, and we are excited to continue to invest in a sector in which we have already achieved significant success.

“Lucy and Frugi’s approach to product integrity, ethics, brand loyalty and digital fulfilment reflects what modern shoppers want. Frugi has great potential, allowing us to attract someone of Hugo’s calibre to lead the next phase of growth, alongside Lucy and the team.”

Lucy Jewson added: “Frugi is built on strong ethical values, so it was important to find an investor that respects this, but also has the experience to help support our future growth, particularly digitally. Paul and the True team – as entrepreneurs themselves – quickly grasped the opportunities and challenges we face as a rapidly growing business. They’re going to protect and enhance Frugi’s innovative and ethical ethos, while helping us reach more like-minded customers around the world.”

Commenting on his new role, Adams said: “Lucy and her team have created something very special with Frugi. For many people, product provenance and corporate ethics are increasingly important; Frugi is part of that awakening, so it’s an exciting time to join. The potential for further growth – here in the UK and beyond – is significant.”

Images: via Frugi Facebook