Financial details of the deal have not been disclosed, but Phase Eight chairman Michael Rahamim says in a statement the business has ‘found a the ideal partner to help develop the future of our brand’.

Rahamim led a management buy-out of the retailer last year. Investors in the deal included Kaupthing Capital Partners, the buy-out arm of the struggling Icelandic bank, and the Russian-backed Kew Capital.

TowerBrook managing director Winston Ginsberg comments, ‘We are delighted to be able to make a significant investment in Phase Eight. It is a leading retail clothing brand with a very well-established heritage.’

Adds Ginsberg, ‘We believe that Phase Eight can achieve substantial additional growth through further leveraging its brand and expanding both its network of stores and its leading position with its department store partners.’

Phase Eight has eight shops and a number of outlets inside department stores across the UK and Ireland.