Jon Moulton‘s private equity vehicle Better Capital has bought iconic British fashion brand Jaeger.

The cost of the acquisition was £19.5 million, most of which went to purchase Jaeger’s secured debts, with the remainder used to buy 90 per cent of the equity in Jaeger Group through a special purpose vehicle.

The first high-street name to be acquired by turnaround-focused Better Capital, Jaeger announced sales of £94 million and and operating profit of £1 million in the year to February 2011. At the time it had net assets of £11 million.

Better Capital runs two AIM-listed funds, the first of which was floated in 2009 and the second last year. They raised £210 million and £158 million respectively in their initial public offerings.

The Jaeger deal follows the acquisition of double glazing company Everest by Better Capital’s second fund last month.