Will the third time be the charm for Fred Segal?
Fred Segal, the Los Angeles retailer once synonymous with pop culture and celebrity, but more recently known for frequent changes in ownership, has again found a new owner. This time, Aritzia, the Canadian mass-market retailer celebrated for its minimalist styles, is stepping in to revive the struggling American brand.
Aritzia Inc. has acquired Fred Segal from the Segal family and has already signed a lease agreement to open a new Fred Segal store at 8100 Melrose Avenue. This location is significant, as it was the former site of the iconic Fred Segal flagship store, which originally opened in the 1960s before closing its doors in 2017. Jennifer Wong, Aritzia’s chief executive, stated in a news release that the company intends to “steward and evolve this iconic brand for a new generation.”
Aritzia and a representative of the Segal family chose not to disclose the financial terms of the acquisition or Fred Segal’s valuation.
The fact that Aritzia, a brand selling fashion marketed as accessible luxury, has absorbed a legacy brand historically celebrated for its meticulous curation and promotion of emerging designers, is quite telling about the current retail landscape.
Traditional luxury retailers, like department stores, have long grappled with a lack of innovation. This climate has positioned Aritzia to appeal to luxury shoppers looking to spend less due to high inflation, while also attracting fast-fashion enthusiasts who view Aritzia’s items, priced between $28 and $598, as a worthwhile investment.
figcaption>Fred Segal founded his namesake brand in 1961 and opened its first store in Los Angeles that same year. The brand quickly gained attention with the private school set, musicians and mothers and daughters looking to splurge.
Fred Segal first launched his namesake brand in 1961, opening its initial store in Los Angeles. He began by selling jeans for $19.95 a pair—a considerable sum at a time when the average pair cost only $3.
The brand quickly captivated the private-school crowd, musicians, and mothers and daughters ready to indulge. Mr. Segal, who passed away in 2021, is widely credited for pioneering a distinctive style that would soon become synonymous with Los Angeles: think low-slung denim, fitted T-shirts, and Danskin leotards.
His brand further cemented its cultural relevance by becoming a hub for carefully curated young designers, with whom Mr. Segal maintained close relationships. The retailer showcased brands like Kate Spade, J Brand, and Juicy Couture alongside esteemed European labels such as Dries Van Noten and Maison Margiela. Fred Segal drew in iconic figures including Diana Ross, Lenny Kravitz, Paris Hilton, and Kendall Jenner, and even received shout-outs in films like “Legally Blonde” and “Clueless.” The store itself was often a must-see stop on tours of Los Angeles.
At its peak, Fred Segal boasted nine stores across California, with additional locations in Switzerland, Taiwan, and Malaysia. However, the business struggled to maintain its relevance with the rise of e-commerce and as other retailers began to emulate the experiential retail approach that Fred Segal had long perfected.
In 2012, Sandow Media acquired the brand’s licensing rights, with Evolution Media Partners holding a minority stake. Then, in 2019, Fred Segal was sold to Global Icons, which aimed to broaden the brand’s reach, including into home décor. By 2024, Fred Segal closed its remaining two clothing stores in Los Angeles, citing “challenges in the retail industry and the impact of the Covid-19 pandemic.”
In a 2024 interview with the Los Angeles Times, Jeff Lotman, chief executive of Global Icons, elaborated on the difficulties Fred Segal encountered. “One of the challenges for us was that 90 percent of the brands that we carried were available elsewhere online,” he explained. “Margins became very thin.”
The Segal family, through a legal representative, informed Forbes in 2024 that “this is not the end of the road for the brand” and confirmed they would seek a new operator for the business.
With Aritzia, Fred Segal has found a partner poised to “guide the brand to new glory,” according to a statement from the Segal family shared by their attorney, Larry Russ. Aritzia’s growth has surged under the leadership of Ms. Wong, who has driven its continued expansion across the United States. In January, the company reported net revenue of 1.04 billion Canadian dollars for the three months ending November 30, 2025. Last year alone, Aritzia opened more than a dozen new stores in the U.S., many featuring expanded dressing rooms, styling suites, lounge areas, and cafés. To propel Fred Segal forward, Aritzia plans to leverage “curated product and immersive experiences,” as outlined in the acquisition announcement.
figcaption>Last year, Aritzia opened more than a dozen new stores in the U.S., some of which are outfitted with larger dressing rooms, styling suites, lounge areas and cafés.
“We have enormous respect for Fred Segal’s heritage and legacy,” Ms. Wong stated in an email, “and our goal is to protect what made the brand a cultural icon while bringing it under Aritzia’s creative direction and operational rigor.”