2.5 minutes

Guess will own all of Rag & Bone's operating assets, and it will split 50% of Rag & Bone's intellectual property with WHP Global.

Guess Inc. agreed to acquire Rag & Bone, the retailers announced on Feb. 16. The acquisition is in partnership with brand management firm WHP Global.

“We are excited to add an iconic brand such as Rag & Bone to Guess, further diversifying our portfolio with complementary customer bases and price points. We look forward to partnering with WHP Global to build on Rag & Bone’s heritage,” Guess CEO Carlos Alberini said. “Guess has an incredible platform with a strong global distribution network and outstanding licensee partners that will enable us to power the growth and expansion of the Rag & Bone business.”

Guess is No. 178 in the Top 1000, Digital Commerce 360’s ranking of North America’s leading retailers by online sales. Rag & Bone ranks No. 652.

Terms of the deal

Guess will buy all of Rag & Bone’s operating assets, the retailer said. Guess and WHP Global will also each own half of Rag & Bone’s intellectual property, according to a public statement. They will create a licensing agreement that gives Guess exclusive rights to manufacture and sell licensed products in exchange for royalties.

The retailers did not share all financial terms of the deal. However, Guess’ commitment in the agreement totals $56.5 million, with the potential for an additional $12.8 million dependent on Rag & Bone’s 2024 results.


The deal is expected to close during the first quarter of Guess’s 2025 fiscal year. 

Rag & Bone’s history

Rag & Bone was founded in New York City in 2002. As of February 2024, the retailer operates 34 stores in the U.S., and another two in the U.K. Its products are also sold through other retailers, including Nordstrom (No. 21 in the Top 1000), Saks Fifth Avenue (No. 28) and Neiman Marcus (No. 72).

In 2023, Rag & Bone generated $250 million in revenue, it said. The apparel company is privately held.

Following the acquisition, Rag & Bone will continue to be headquartered in New York City. It will operate as an independent fashion brand under the Guess umbrella, the retailer said.


“I am thrilled about this new relationship with Guess and WHP Global. Today marks the beginning of an exciting new chapter as Rag & Bone joins forces with a much larger international fashion company,” Rag & Bone chairman Andrew Rosen said in a written statement. “It’s a great opportunity for our team to take the brand to the next level, blending our unique styles and respective expertise to create new possibilities for Rag & Bone on a global scale.”

Why the acquisition is significant for Guess

Guess will make its first-ever acquisition in its 43-year history with Rag & Bone, co-founder and chief creative officer Paul Marciano said. 

In its most recent financial report, Guess said revenue grew 3% to 651.2 million in its Q3 ended Oct. 28. Guess CEO Alberini said the addition of Rag & Bone will improve the retailer’s financial position further.

We expect the transaction to deliver earnings per share accretion in the first year and strong value creation for our shareholders for years to come,” he stated.


Do you rank in our database?

Submit your data with this quick survey and we’ll see where you fit in our next ranking update.

Sign up

Stay on top of the latest developments in the ecommerce industry. Sign up for a complimentary subscription to Digital Commerce 360 Retail News.

Follow us on LinkedInTwitter and Facebook. Be the first to know when Digital Commerce 360 publishes news content.