Richemont sells Chinese luxury brand Shanghai Tang

Cartier owner Richemont has sold its Chinese luxury brand Shanghai Tang to Cassia Investments, the Consumer-focused Private Equity fund, in partnership with Italian fashion entrepreneur, Alessandro Bastagli, the company said on Monday.

No value for the deal was given but Richemont, which also owns jewellers Cartier, Van Cleef & Arpels and Piaget, but "The transaction will have no material impact on Richemont's balance sheet, cash flow or results for the year ending 31 March 2018," Richemont said in a statement. The Swiss luxury group first acquired a stake in the retailer in 1998 before taking full ownership a decade later.

The new shareholders have stated: "Shanghai Tang is a truly unique brand. We are excited to work closely with the new management and creative teams to continue building on Shanghai Tang's heritage as the leading luxury Chinese brand with global recognition."

Established in 1994 in Hong Kong, Shanghai Tang was the first contemporary luxury brand from China. Its modern and sophisticated range of men's and women's clothing, accessories, and home decorations fuses iconic elements of Chinese culture with chic sophisticated fashion.

In addition, they expressed their commitment to investing in the continued growth of the brand particularly through expansion into new markets in Asia, Europe, Middle East and North America.