The move will enable both retailers to leverage their respective strengths and generate strong future growth at a valuation of £200m, it also aims to combine the design and creativity of the Reiss brand, with Next’s operational infrastructure.
As part of the agreement, Reiss will transition its online platform, warehouse, distribution and logistics to the Next total platform.
Next stated that with its infrastructure powering the business, Reiss will be able to “focus on its strengths”.
Reiss will reportedly retain its management autonomy and creative independence as well as continue to have its own independent board of directors, headquartered in London.
The business will continue to be led by Christos Angelides, chief executive and his creative team who in the year to 1 February 2020, achieved a turnover of £227.4m through all its sales channels, an increase of 22% on the prior year.
Commenting on the new partnership, Angelides said: “Next’s infrastructure will ensure Reiss is not only more efficient as a business but more effective at serving its customers directly through Reiss stores, at reiss.com and through its worldwide partners.
“Whilst we will continue to focus on creating authentic and timeless collections, today’s announcement provides a great opportunity for Reiss to realise the Brand’s global potential as a Modern Fashion House.”
The company currently operates in 14 countries from 79 stores, 104 concessions and via wholesale and franchises.
Simon Wolfson, chief executive, Next, said: “Reiss is an outstanding brand with enormous potential and a first class management team. We are excited to see what can be achieved through the combination of Reiss’s exceptional product, marketing and brand building skills with Next’s Total Platform infrastructure.”