Billionaire Lakshmi Mittal’s Daughter-in-Law Scoops Up Escada

Cars. Appliances. Overly-sequined dresses.

One of these things is not like the other. Yet yesterday, it was announced that Megha Mittal–daughter-in-law of billionaire Lakshmi Mittal–acquired bankrupt German fashion brand Escada for a reported 30 million euros. The Mittal family, which made its fortune in steel, producing everything from kitchen appliances to building materials, now owns a fashion brand that currently employs 2,300 people worldwide. Escada is best known for, in the bluntest terms, flashy clothes for flashy people. Think lots of hot pink, sparkles and leopard-printed pussy bow blouses.

The question, of course, is WHY? My suspicion is that Mrs. Mittal is an Escada customer and that this will be her baby. The 33-year-old does have a degree from Wharton Business School. Overall, I’d say this is a good thing for the struggling brand. The other bidder was a private equity firm, and we know that all they want to do with fashion brands is pump and dump. If Mittal has passion for Escada, the resources she can provide–not only money, but help with infrastructure and rebuilding–will prove fruitful. Despite my personal distaste for the aesthetic, I do think it’s marketable. I know that Neiman Marcus, which is based in Dallas and caters to the southern socialite, is a big Escada client. There will always be a cohort of women after that “Giorgio Beverly Hills in the 1980s” look. Good luck to Mittal and the Escada team.