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What Is Mossimo Giannulli’s Net Worth?
Mossimo Giannulli, an American fashion designer and entrepreneur, has accumulated a substantial fortune over his career. His net worth is estimated at $80 million, which is a combined figure with his wife, actress Lori Loughlin. This wealth is primarily derived from his successful clothing company, Mossimo, and various real estate investments.
Mossimo Giannulli’s Early Business Ventures and Brand Development
Born on June 4, 1963, as Massimo Giannulli, he later adopted the spelling “Mossimo” during his early education. Mossimo’s entrepreneurial journey began in 1986 when he founded his clothing line, Mossimo, on Balboa Island in Newport Beach, California, with a $100,000 loan from his father. He had previously attended the University of Southern California, studying architecture and business, but dropped out after three years to dedicate himself fully to his fashion venture. His initial vision was to create a beachwear brand similar to Stussy.
In its first year, Mossimo generated $1 million in revenue, and by the second year, this figure had increased to $4 million, driven by an expansion into woven sweaters and sweatshirts. By 1992, the company’s annual revenue reached $32 million. The brand expanded to include a wide array of products, from activewear and beachwear to sweaters, knits, women’s clothing, and tailored suits. This diversification helped solidify Mossimo’s position in the fashion market.
Mossimo’s IPO and Fluctuations in Net Worth
In 1996, Mossimo took his company public. At that time, the company had 300 employees and was generating $70 million in annual revenue. This milestone made the 32-year-old Giannulli the youngest CEO of a company listed on the New York Stock Exchange. Following the IPO, Giannulli’s net worth (pretax, on paper) was valued at $275 million, thanks to his 73% ownership stake in the company.
At its peak as a public company, Mossimo’s stock traded at $50 per share, which meant his stake was worth $500 million. However, by 1998, the stock price had plummeted by 90% to $4.75 per share due to an unsuccessful attempt to transition into high-end fashion, leaving his stake at $50 million. This over-expansion alienated the brand’s original customer base while failing to attract new, high-end clients.
Licensing Agreements and Sale of Mossimo
In 2000, Mossimo entered into a licensing agreement with Target, which paid him $8.5 million per year in royalties for three years. This strategic partnership significantly broadened the accessibility of Mossimo products to a wider audience.
In 2006, Mossimo sold his company to Iconix Brand Group for $135 million in cash and debt absorption. This sale marked a significant financial milestone for Giannulli, allowing him to capitalize on his entrepreneurial success.
Real Estate Holdings and Investments
Mossimo Giannulli and his wife, Lori Loughlin, have a history of significant real estate investments. From 2015 to 2020, their primary residence was a mansion in Bel Air, California, located on the grounds of the Bel Air Country Club. They purchased the property for $14 million in 2015 and invested millions in renovations. Initially, they listed the mansion for $35 million but eventually sold it for $18 million to Tinder co-founder Justin Mateen. They sold the home shortly after being forced to resign from the Bel-Air Country Club due to complaints about allowing convicted felons to remain members.
Prior to their Bel Air residence, they owned a mansion in Beverly Hills, which they sold in 2015 for $18 million. They also previously owned a home in Aspen, Colorado, which they sold in July 2015 for $7.6 million. Another property they owned was in the exclusive gated community of Emerald Bay in Laguna Beach, which they acquired in 1997 for $1.36 million and sold in 2010 for $4.1 million after initially listing it for $12.99 million in 2008.
In September 2021, the couple purchased a 9,000-square-foot home in the Madison Club, a gated community in La Quinta, California, for $13 million. Additionally, in August 2020, they bought a newly constructed 12,000-square-foot home in Hidden Hills, California, for $9.5 million. They listed this home for sale in April 2024 for $17.5 million.
College Admissions Scandal and Financial Repercussions
In 2019, Mossimo Giannulli and Lori Loughlin were implicated in a college admissions bribery scandal. They were accused of paying $500,000 to falsely designate their daughters as recruits to the University of Southern California’s rowing team. This scandal led to significant legal and financial repercussions.
Mossimo Giannulli was sentenced to five months in prison, a $250,000 fine, and 250 hours of community service. He served a little over four months, entering prison on November 19, 2020, and being released on April 2, 2021. The legal fees and fines associated with the scandal undoubtedly impacted their net worth.
