BB Dakota Joins Forces With Samsung
BB Dakota, the young contemporary brand based in Orange County, Calif., is shaking up its business model.
The relatively young fashion-forward label is ending its licensing agreement with Irvine, Calif.–based manufacturer nZania Inc., moving to its own offices not far away in Costa Mesa, Calif., and aligning itself with huge South Korean conglomerate Samsung to grow the company.
Gloria Brandes, the founder and design director of the company, will be taking over all design, merchandising and marketing responsibilities once handled by nZania, which shared its offices with the label.
NZania has held the BB Dakota licensing agreement since 2005, when the label was launched. At the time, nZania also held licenses with Hurley, Reebok, Disney and Levi’s.
Ever since last year, Brandes has wanted to either sell the company or launch an initial public offering to fund growth. In late 2007, she hired Roth Capital Partners, a Newport Beach, Calif.–based investment bank, to look for buyers or help with the IPO.
Instead, BB Dakota has formed an alliance with a division of Samsung, taking advantage of the conglomerate’s strong credit rating, factoring ability, and warehouse and shipping facilities to operate the business more efficiently. Details of the deal were not revealed.
Now that BB Dakota is aligned with Samsung, it is moving to its own headquarters in a historic shipyard undergoing renovation in Costa Mesa. The building has a bohemian feel with a loft space, concrete floors and a corrugated metal exterior.
“Even in these difficult times, there is always opportunity for those with the right formula,” Brandes said in a statement. “I have great confidence in the viability of this brand. We have put together an amazingly strong and experienced team and have invested the necessary capital to assure a smooth transition and continued success.”
Earlier this year, BB Dakota launched a juniors label called Jack BBDakota and later a fashionable activewear collection called X BBDakota. —Deborah Belgum
