Labelux, the European private luxury group that owns Bally, has acquired Jimmy Choo for over £500m from TowerBrook Capital.

Jimmy Choo was founded in 1996 in London by Mellon, a former Vogue editor, and shoemaker Jimmy Choo, who sold his interest in 2001.

TowerBrook Capital Partners bought Jimmy Choo in 2007 for £185m. It has developed the company into a global brand.

In 2010, the company reported net sales of £150m. Its range now includes handbags, scarves, eyeware, belts, fragrance and, most recently, men’s shoes.

Founded in 2007, Labelux, based in Austria, holds such fashion brands as Bally, Derek Lam and Zagliani in its portfolio.

Ms Mellon (pictured below) and chief executive Joshua Schulman will stay on in their current jobs as part of the deal.

Reinhard Mieck, chief executive officer of Labelux, said: “Jimmy Choo is an outstanding brand with enormous growth potential and the ability to deliver material growth synergies across our group.”

The luxury industry is going through a period of intense activity, consolidating through deals and raising money in initial public offerings.

LVMH announced its 3.7 billion euro takeover of the Italian jewelry maker Bulgari in March, while Prada is slated to go public in Hong Kong next month.

Earlier this month, Hermes — itself threatened by a takeover from LVMH — sold its stake in the fashion house Jean-Paul Gaultier to the Catalan perfume maker, Puig.

Via Reuters – NYtimes – Photograph: Richard Young