The Rise of L’Exception: A New Chapter in E-commerce
PARIS — L’Exception, the beloved French online fashion retailer, has recently found new ownership as it gets acquired by AA Investments, a Hong Kong-based asset management firm. This acquisition comes as part of a larger trend of consolidating e-commerce businesses, with AA Investments also overseeing brands like Smallable, a French fashion and home decor e-tailer, and Wethenew, a well-known sneaker resale platform.
In an announcement made via LinkedIn, founder Régis Pennel confirmed the acquisition and stated that he would be stepping down from his role immediately. Cécile Roederer, the founder and CEO of Smallable, is poised to take the helm of L’Exception, marking a significant leadership transition.
Future Assured under New Leadership
Pennel expressed confidence in the new leadership, stating, “I am convinced that L’Exception is now in very good hands to continue its development.” Unfortunately, he was not available at the time for additional insights into this transition.
A Challenging Year for E-commerce
This acquisition caps a tumultuous year for multibrand e-commerce platforms. Established in 2011, L’Exception faced major hurdles during the coronavirus pandemic, leading to the closure of its physical store in the Forum des Halles shopping center in 2021. The following year saw a shift to a sustainable fashion accelerator, La Caserne.
Despite the support from Jacques Veyrat’s industrial holding group, Impala, L’Exception battled challenges such as falling demand, escalating costs, and the rise of direct-to-consumer sales channels.
Shifting Gears: A New Marketplace Vision
Focused on promoting French and European sustainable brands, L’Exception transformed into a marketplace model as it sought potential buyers. Notably, the brand had also launched its own direct-to-consumer private label men’s collection in 2018, showcasing a commitment to innovation in a rapidly changing market.
Strategic Acquisitions by AA Investments
AA Investments, controlled by the Goshayeshi family — well-known for their Iranian beauty retail chain, Safir — has been on a spree, acquiring several distressed assets recently. However, the firm has not yet clarified its long-term strategic approach regarding these acquisitions.
Additionally, AA Investments is reportedly vying for ownership of the Paris-based fashion label Y/Project, which found itself in receivership in September. The Paris commercial court is expected to deliver a ruling on this matter in early January.
Wrap Up
With this transition, L’Exception is at the cusp of a transformative journey, potentially driving forward its mission of sustainable fashion under empowering female leadership. As fashion enthusiasts and industry insiders watch closely, the future of this beloved brand looks promising.
