American fashion house Billy Reid has acquired the retail and online direct-to-consumer (DTC) division of premium made-to-measure company Knot Standard.
The deal includes Knot Standard's eight stores including those in Chicago, San Francisco and Los Angeles, as well as its sales associates and retail management team.
Billy Reid plans to immediately integrate these locations into its existing operations to expand its total network to 19 locations across the US.
The combined entity will drive growth using existing Billy Reid management along with its operational expertise and brand engine.
The acquisition will allow Billy Reid to offer made-to-measure services alongside its ready-to-wear collections.
Knot Standard’s AI-powered made-to-measure software comprises measurement and ordering tools.
The integration of this software will enable personalisation and quality that could not previously be achieved with ready-to-wear collections.
Billy Reid CEO Jeff Zens said: "We're excited to build upon our already existing partnership with Knot Standard and begin working directly with their eight locations.
“We were initially attracted to the product quality, similar customer and unique business model, all of which complement the Billy Reid business and will create a stronger consumer offering than each brand could have achieved alone."
The acquisition follows a commercial partnership between Billy Reid and Knot Standard, established in 2023 that saw Knot Standard supporting made-to-measure services in Billy Reid outlets.
During a capital raise in the third quarter of 2023, Knot Standard investors proposed the acquisition to Billy Reid, recognising the potential benefits of the businesses joining forces.
Knot Standard will become a minority shareholder in the combined entity under the Billy Reid brand.
Knot Standard CEO Matt Mueller said: "Joining with Billy Reid represents more than a business decision; it's a fusion of craftsmanship and innovation. Our combined strengths will not only elevate the made-to-measure experience but also expand our reach, bringing exceptional quality and personalisation to more people across the nation."
In a separate development, Knot Standard revealed its plans to launch six additional retail brands, bolstering its presence to more than 60 additional retail stores.
