David's Bridal plans to separate its artificial intelligence-powered wedding planning platform, Pearl, into an independent publicly traded company under a proposed business combination that values the business at approximately $350 million (£262 million). The US bridal retailer announced on 22 October 2026 that it had signed a non-binding letter of intent with K&F Growth Acquisition Corp. II, a special purpose acquisition company (SPAC), to take Pearl public.
The proposed transaction is expected to close in the first half of 2027, subject to negotiations and the necessary approvals. Under the plan, Pearl would become a standalone digital business combining wedding planning, media, e-commerce and vendor marketplace services.
It would also acquire David's Bridal's brand and intellectual property, while the retailer would continue operating its physical stores. The proposed deal marks a significant step in David's Bridal's strategy to expand its technology-led wedding services alongside its established bridal retail business.
David's Bridal Targets Independent Future for Pearl
The proposed transaction would establish Pearl as a standalone company, allowing it to develop its AI-powered wedding planning and digital commerce services independently while maintaining commercial ties with David's Bridal. The non-binding letter of intent values Pearl at approximately $350 million (£262 million) in pro forma enterprise value, equivalent to around 9.3 times its projected 2027 earnings before interest, taxes, depreciation and amortisation (EBITDA).
The deal also includes plans for $75 million (£56 million) in private investment in public equity funding, with CION Investment Corporation proposing an initial investment of $25 million (£19 million). The transaction remains subject to due diligence, regulatory requirements, approvals and the negotiation of a binding agreement. David's Bridal is expected to retain a significant ownership stake in Pearl following the proposed separation.
What Pearl Offers Wedding Customers
Pearl brings wedding planning, shopping and vendor services together through an AI-powered digital platform. Its offerings include Pearl Planner, an AI-assisted planning tool, Pearl Connect, which links wedding professionals with potential customers, and Love Stories TV, alongside e-commerce and digital content services.
The platform generates revenue through advertising, vendor subscriptions, commerce and licensing. Under the proposed separation, Pearl would acquire David's Bridal's brand and intellectual property, then license them back to the retailer. Both businesses are expected to maintain long-term commercial agreements following the transaction.
Pearl Projects More Than £63 Million in 2027 Revenue
Pearl's financial projections outline expectations for substantial growth following its planned separation. The company projects revenue exceeding $85 million (£63.6 million) in 2027, representing growth of more than 100% from the previous year. It also forecasts an EBITDA margin above 30% in 2026 and expects to generate positive free cash flow in both 2026 and 2027.
Pearl is projected to be debt-free following the transaction, according to the announcement. These figures are forward-looking projections rather than audited results, and actual performance may differ from the company's expectations.
The proposed funding and public listing are intended to provide Pearl with a separate platform for pursuing its growth plans. The transaction would also give investors an opportunity to gain exposure to the digital wedding planning and commerce business independently of David's Bridal's retail operations.
Kelly Cook Expected To Lead Pearl
David's Bridal chief executive Kelly Cook is expected to become Pearl's chief executive following the proposed separation. Elina Vilk, the retailer's president and chief business officer, is expected to serve as Pearl's president.
Cook has led David's Bridal's transformation towards a more digitally focused business model, with increased emphasis on artificial intelligence, wedding planning technology and online services. The company has described its wider strategy as an effort to connect its physical retail presence with digital platforms and services across the wedding industry.
The planned separation is intended to give Pearl greater independence while allowing David's Bridal to concentrate on its retail operations. The two businesses are expected to continue working together through licensing and commercial agreements.
David's Bridal Stores To Continue Operating
David's Bridal has said its retail stores will continue operating as usual during the planned separation, with no disruption to customers' existing shopping experience. The retailer has a 75-year history in the bridal industry and plans to retain its established retail presence while Pearl develops as an independent digital business.
The proposed transaction has not yet been completed, and the companies have not guaranteed that a definitive agreement will be signed or that the deal will close on the anticipated terms and timeline. If completed, the separation would establish Pearl as a publicly traded company focused on AI-powered wedding planning, digital commerce, media and vendor services, while preserving a commercial relationship with David's Bridal.
