What if Kanye West's clothing brand went public? Though it seems unlikely, he has recently talked about breaking off from Adidas ( $ADDYY ) and Gap ( $GPS ). Adidas being the partner for shoes, such as the popular 350, or the yeezy slides, and Gap being the clothing partner.
Kanye West Is Done With Corporate America. He’ll Go It Alone https://www.bloomberg.com/news/articles/2022-09-12/kanye-west-after-jpmorgan-jpm-gap-gps-clashes-is-done-with-companies
This article says the adidas contract ends in 23' , while gaps ends in 2030.
If Yeezy were to be publicly traded I believe it would be a very similar stock to Lululemon ( $LULU ) , I hear about Lulu all the time but i've never been into their clothing.
West has been showing his concern recently on social media, accusing Adidas of "Blatant Copying" when they released slides very similar to the Yeezy design.
If Yeezy was a public company i'd be invested.
How would he handle the supply side of this? I am assuming that is why he partnered with these brands in the first place.
I am not sure Yeezy and Lululemon are similar though.
@investmenttalk Adidas does manufacture and distribute Yeezy shoes, I know nothing about the Gap but i'm sure it's the same. Would have to be a large investment, but it's not like it's a startup, the brand and owner are very well known. I'm sure Ye's got some money to invest as well.
I know nothing about Lululemon as a company but the brand itself at one point seemed to be just as influential as Yeezy once was. They both had high points in the past, now they are still great, but I don't think either have the spotlight like they once did..
@seasnar would be great to understand what are your thoughts on why ye initially partnered with these brands like $ADIDAS and $GAP . I find that when celebrities have an idea in their mind the most quick and effective way for them to execute is through a partnership.
Are you a fan of the Yeezy products ? Wouldn’t you say it falls into more of the luxury street wear category rather than athleisure
@joeyhirendernath I think you are correct, celebrities probably do see that as the best action to take, especially when they have no experience in the industry, and it's also great marketing for the company they partner with. I can see it as a way of getting into the business though, getting an understanding of what he wants to do.
I would say that I am a fan but not a customer, at one point I wanted the shoes, but they are too hard to get at retail and too expensive aftermarket. I think i'm just a fan of Kanye in general, always loved his music, and his documentary really showed how much of a go-getter he is.
I think Yeezy makes athleisure clothing, that has become somewhat of a luxury item, because of the supply of the shoe. At one point, I think in 2020, he said "everyone who wants yeezys will eventually get yeezys". I think it could very well turn into a brand that you see more often, and not at an outrageous resale price.