WSG Brands acquires contemporary label Sanctuary

US brand management firm WSG Brands (WSG) has acquired US contemporary womenswear label Sanctuary. The transaction marks the start of an expansion phase for the nearly 30-year-old business.

Sanctuary was founded in Los Angeles in 1997 by husband-and-wife duo Ken and Debra Polanco. The brand established a presence in the contemporary women's sector through wholesale distribution, an expanding direct-to-consumer (D2C) channel and retail partnerships.

“Over nearly 30 years, Sanctuary has grown from an idea into a brand and community that means so much to us,” said Sanctuary co-founders Debra and Ken Polanco. “This partnership gives Sanctuary the opportunity to build on that foundation with greater resources, global reach, and new avenues for growth, while staying true to the point of view and product philosophy that have defined the brand from the beginning.”

Global reach and category expansion

The acquisition incorporates Sanctuary into the portfolio of WSG, which intends to scale the brand while maintaining its existing product direction. Founders Ken and Debra Polanco will remain active in operations to support creative direction, positioning and consumer engagement. Sanctuary will continue operating as an independent label with its current leadership team.

Growth initiatives will focus on international expansion in territories where Sanctuary currently has limited market penetration. Priority regions include the UK, Europe, the GCC and Asia. Expansion will be executed through licensing, wholesale distribution, retail, e-commerce and regional partnerships.

WSG plans to add new clothing categories to Sanctuary portfolio

WSG plans to develop Sanctuary into a broader lifestyle business beyond womenswear. Future category additions are expected to include menswear, kidswear and home goods.

WSG chief executive officer Jack Cheika said: “Sanctuary has built an incredibly strong brand over nearly three decades, with a clear point of view, deep consumer loyalty, and enduring relevance in the contemporary women's market. Our goal is not to change what has made Sanctuary successful, but to build upon it.”

Hong Kong-based supply chain manager Li & Fung will serve as the anchor licensee for Sanctuary in women’s ready-to-wear. US investment bank MMG Advisors served as exclusive financial advisor to Sanctuary on the transaction.