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Playboy and the family business

Two months ago the business world – and indeed Hugh Hefner – might have been led to believe that the founder of the iconic Playboy brand regained control of the business he founded in 1953.

But perception is one thing and reality is often an altogether different thing. According to a recent report in Forbes, the 84-year-old’s control of Playboy is largely honorary.

Forbes said: “In ownership terms he is decidedly the junior partner in the new venture, called Icon Acquisition Holdings LP. Moody’s Investors Service estimates the size of this stake at 37%, versus a 60% stake held by Rizvi Traverse Management, the private equity firm that backed him in the buyout.”

Hef’s lack of control might preclude any other family member playing a part in the business in the future, especially after his daughter Christine stepped down from the chief executive position more than two years ago.

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