Private equity stripped Bally of its Swiss heritage — then the court seized what was left

Bally was founded in 1851 in Schönenwerd, Switzerland, building a global reputation for luxury shoes and leather goods. At its peak it operated 500+ retail locations across 70 countries. After decades under JAB Holding's Labelux division, the brand was struggling — declining sales, a dated product line, and a shrinking retail network.

In August 2024, US private equity firm Regent LP acquired Bally's international business to avoid bankruptcy. Regent launched rapid cost-cutting: 65 jobs cut in October 2024, the Florence creative studio closed in December 2024 (55 jobs), creative director Simone Belloti departed in mid-2025, and production in Switzerland was halted in May 2026. The remaining 27 employees at the Caslano headquarters were laid off in June 2026.

By June 2026, Bally had accumulated CHF 20 million in debt. A Swiss court appointed an external administrator and placed the company under a composition moratorium. The court later blocked a planned sale to Aare LLC — a US company established in May 2025 — amid suspicions of 'controlled devaluation' of the brand. The 173-year-old Swiss luxury house effectively collapsed in two years under its new owner.