Percival Menswear, a London-based contemporary menswear fashion brand, has secured a further GBP3 million investment from growth capital investor VGC Partners, following an initial investment of GBP150,000 in 2018.
The Hackney-based brand, which employs eight people, has set itself apart in recent years by creating collections that subvert the classics of the male wardrobe. This includes featuring in the David Beckham Eyewear campaign and curating a custom tour wardrobe of Niall Horan, as well as more recently collaborating with Brighton-based artist and illustrator Sophy Hollington.
Percival, led by creative director, Chris Gove, and head of marketing, Terry Donovan, utilised the previous investment by VGC Partners to establish a unique business model, efficient supply chain and robust e-commerce infrastructure that enables mass personalisation and new product drops every six weeks. This model, alongside Percival’s focus on content creation and customer service, resulted in the brand doubling its net sales year-on-year and hitting its 2022 target two years in advance, with an impressive 55 per cent profit margin.
This second round of funding by VGC Partners will be used to double the depth of stock across all core styles to keep up with demand, as well as introducing new categories and continuing to enhance the customer experience and service.
Percival will also look to increase its market share internationally, capitalising on its US and European sales by creating dedicated online platforms to service these growing markets. At present, 20 per cent of the firm’s sales are from overseas, split evenly between the US and EU markets.
The GBP3 million minority investment was made from VGC Partners’ flagship GBP50 million fund which backs early-stage, next-generation consumer, technology and digital media businesses.
Chris Gove, Creative Director at Percival Menswear, says: “The growth we’ve seen in the past few years has been incredible. Hitting our 2022 target by November 2020 just proved to us that we’ve created a brand that is truly desirable. Clothing is inherently personal so we’re proud to see so many customers enjoying and recommending our collections.
“The investment from VGC will be essential in our next stage of growth and will allow us to deliver more quality, British design to our customers in the UK, as well as expanding our platform to service our growing customer base in the US and Europe.”
Parminder Basran, Founder and Managing Partner at VGC Partners, says: “Menswear accounts for around a quarter of the total clothing market and while undoubtedly competitive, Percival has carved out a niche by creating a new take on the classics and delivering consistently high levels of quality. The team inherently understands fashion, but also its customers and as a result create collections that continue to sell out, and our investment will help them service that continued demand.
“The business has proven its strength since our initial investment, and with the experience of the management team and our guidance, there’s no doubt Percival will continue to thrive not only in the UK, but internationally.”
