News
Cavendish advises on Models 1 deal
30 November 2008Cavendish Corporate Finance LLP is pleased to have advised on the successful sale of a strategic equity stake to US private equity house OpenGate Capital.
Models 1 is one of the iconic names in the area of model management. Founded over 40 years ago, the company developed its reputation by discovering and helping to build the careers of young and aspiring models, many of whom have since achieved enormous success and international fame. Among the many models represented are the likes of Yasmin Le Bon, Will Chalker, Andrew Cooper, Tom Warren, Linda Evangelista, and current phenomenon, and Model of the Year, Agyness Deyn
Models 1 operates through five divisions. In addition to Women and Men, the New Faces division is responsible for finding new models; Personal Management is a tailor made division encompassing Classic Women and Special Bookings. Classic Women represents models such as Angie Hill (Garnier Ultra Lift campaign) and Heather Stewart White (Clarins campaign). Its roster also includes celebrities including Twiggy, Marie Helvin, Joanna Lumley and Patsy Kensit. The Creative Division was launched in 2002 and represents London's leading hair& make-up artists, fashion stylists and photographers. Models 1 works with around 1,200 different clients every year, including haute couture, leading brands, high street retailers (e.g. M&S, Next and Top Shop), and also with TV and media agencies.
Cavendish, using its world-wide research capabilities, identified several international buyers from wealthy individuals to other major agencies. A chance conversation between [Raymond Fagan], the Cavendish partner who led the transaction, and Andrew Nikou, the founder of OpenGate Capital in Los Angeles, led to him introducing the parties, negotiating the transaction and facilitating the deal process through to closure. Nikou and OpenGate had recently made the decision to seek out opportunities in the area of talent and celebrity management and Models 1 was an ideal first and cornerstone acquisition.
The experienced management team at Models 1, led by John Horner and comprising Karen Pryer and Kathy Diamond, will now work with Nikou to develop the agency's strategy. They remain as shareholders in the new business.
Commenting on the sale [Raymond Fagan] said:
''We were very pleased to close such a unique transaction, especially in the current market. The key was a strong management team and a profitable business that was well known to a world-wide audience. Our research and international reach ensured we tracked down the ideal new investor for both the selling shareholders and the management team.''