Designer now a billionaire
Chris Burch, the former husband of fashion designer Tory Burch, sold about half of his 28.3 per cent stake in New York-based retailer
Tory Burch LLC Dec. 31, settling a year-old legal dispute between the couple, according to people familiar with the transaction.
The sale values the closely held operation at about $3.3 billion, according to New York-based research firm PrivCo Media LLC, and makes Tory Burch, 46, a billionaire. The two people said Chris Burch, 59, will retain about a 15 per cent stake in the New Yorkbased operation.
Tory Burch LLC sells handbags, shoes, dresses and eyeglasses through more than 80 Tory Burch retail stores and other outlets, such as Neiman Marcus, Nordstrom and Bloomingdale’s. In fiscal year 2012, the company generated more than $760 million in revenue and about $230 million in earnings before interests, taxes, depreciation and amortization, PrivCo said.
Tory Burch owns 28.3 per cent of the company. Her stake is worth about $935 million, based on the transaction. Her net worth exceeds $1 billion after accounting for more than $70 million she received from equity sales and dividends, according to PrivCo.
The Burches, who opened the first Tory Burch retail store in New York in February 2004 and divorced in 2006, have sold at least two stakes in the company in the past eight years.