- L Brands on Tuesday said that, after entertaining interest from several potential buyers, its board instead unanimously approved a tax-free spinoff of its Victoria’s Secret business into a public company apart from its Bath & Body Works banner. The separation is expected to be completed in August, according to a company press release.
- L Brands CEO Andrew Meslow will retain that position and lead Bath & Body Works following the spinoff. Victoria’s Secret CEO Martin Waters will continue to lead the stand-alone Victoria’s Secret business, which includes the namesake brand and Pink.
- The conglomerate released preliminary first quarter results, reporting an overall 83% net sales rise to $3 billion, reflecting a 93% increase to $1.5 billion at Bath & Body Works and a 74% increase to $1.6 billion at Victoria’s Secret. Comps rose 21%; 16% at Bath & Body Works and 25% at Victoria’s Secret. L Brands operating income reached about $570 million — $380 million at Bath & Body Works and $245 million at Victoria’s Secret.