Footwear brand Skechers has agreed to be acquired by investment firm 3G Capital.
“Over the last three decades, Skechers has experienced tremendous growth. Our success has been due to our commitment to excellence and innovation across the entire Skechers organization, in-demand comfort-focused product offering, and loyal partners,” said Robert Greenberg, Chairman and CEO of Skechers.
“With a proven track-record, Skechers is entering its next chapter in partnership with the global investment firm 3G Capital. Given their remarkable history of facilitating the success of some of the most iconic global consumer businesses, we believe this partnership will support our talented team as they execute their expertise to meet the needs of our consumers and customers while enabling the company’s long-term growth.”
Upon completion of the transaction, Skechers will proceed with its strategic initiatives such as developing innovative products, international expansion, direct-to-consumer and domestic wholesale growth, and investments in global distribution, technology, and infrastructure.
The deal, which was approved unanimously by the Skechers board of directors and an independent committee of independent directors, represents a long-term partnership with 3G Capital to support Skechers’ continued global evolution as a lifestyle and performance footwear.
Skechers’ senior management including Chairman and CEO Greenberg and President Michael Greenberg will continue to lead the company. It will also keep its headquarters in Manhattan Beach, California, where it began over 30 years ago.
According to the definitive merger agreement, 3G Capital will purchase all outstanding Skechers shares at $63.00 per share in cash, offering a 30 per cent premium to the 15-day volume-weighted average stock price.
Existing shareholders can alternatively choose to receive $57.00 in cash and one unlisted, non-transferable equity unit in a newly created private company that will serve as Skechers’ parent, subject to specific restrictions outlined in the Election Mechanics.
“We are thrilled to be partnering with Skechers and look forward to working with an entrepreneur of Robert’s caliber and the talented Skechers team. Skechers is an iconic, founder-led brand with a track record of creativity and innovation,” said Alex Behring, Co-Founder and Co-Managing Partner, and Daniel Schwartz, Co-Managing Partner of 3G Capital.
“We have immense admiration for the business that this team has built, and look forward to supporting the company’s next chapter. Our team at 3G Capital is built to partner with companies like Skechers.”