Spanx is Now Worth $1.2 Billion in Blackstone Deal

It’s been a remarkable journey for Sara Blakely who founded Spanx Inc. in 2000 with only $5,000 from her personal savings account.

Today the company is worth $1.2 billion thanks to a Blackstone deal.

Blakely, 50, will retain a significant interest in the Atlanta-based maker of shapewear and pantyhose, according to a statement from the two firms this week.

She will continue to oversee daily operations alongside Spanx’s existing senior management team and will become executive chairwoman once the deal closes.

“This is a really important moment in time for female entrepreneurs,” Blakely said. “I started this company with no business experience and very little money, but I cared the most about the customer, and that gave me the courage to launch the company.”

Blackstone made the investment through its Blackstone Growth and Blackstone Tactical Opportunities businesses.

Blakely’s story is one that motivates as she was selling fax machines door to door 21 years ago.

After getting prototypes made of her Spanx products, she sold her first products in a few Nieman Marcus stores.

She has become one of Atlanta’s best-known business leaders and philanthropists, landing on Time magazine’s list of 100 most influential people in the U.S. and Forbes magazine’s cover.