After months of speculation, Toms has a deal.
The brand announced today the sale of a 50 percent stake in its company to Bain Capital LLC, a Boston-based global private investment firm. The transaction is expected to bolster the footwear label’s commitment to supporting its global charitable programs.
Financial terms of the private sale have not been disclosed.
Founder Blake Mycoskie will retain a 50 percent ownership of Toms. However, he will contribute at least half of his profits from the sale to a fund that supports social entrepreneurship and similar causes.
Bain as well has committed to supporting social entrepreneurs through “a new charitable endeavor,” to be equally funded by the investment firm and Mycoskie, according to a Bain spokeswoman.
“This partnership will enable Toms to grow faster and give to more people in more ways than we could otherwise,” Mycoskie said in a press release. “In eight short years, we’ve had incredible success, and now we need a strategic partner who shares our bold vision for the future and can help us realize it.
“We are extremely excited to partner with Blake Mycoskie to support the continued growth of the business and the expansion of the Toms mission. As a firm and as individuals, we are strongly aligned with the principles of the One for One movement and its contribution to the global community,” added Ryan Cotton, a principal at Bain, in the statement.
Bain’s past consumer and retail investments have included Burlington Stores, Bright Horizons, The Sealy Corporation, The Gymboree Corporation and Dunkin’ Brands Group.