Skechers To Transition To Private Ownership In $9.4 Billion Acquisition By 3G Capital
$SKX
In a significant shift in the footwear industry, Skechers USA., Inc. (NYSE:SKX) has entered into a definitive agreement to be acquired by 3G Capital, a renowned global investment firm. The deal, valued at approximately $9.4 billion, will transition Skechers from a publicly traded company to a privately held entity. This acquisition is set to close in the third quarter of the current year, marking a pivotal moment in Skechers’ over three-decade history.
Under the terms of the agreement, 3G Capital will purchase all outstanding shares of Skechers for $63 per share in cash. This offer represents a 30% premium over the company’s recent average stock price. The transaction has received unanimous approval from Skechers’ board of directors, emphasizing their belief in the benefits of this deal to all stakeholders.
Post-acquisition, Skechers will continue to operate under the leadership of its current management team, with Robert Greenberg remaining as Chairman and CEO. The company’s headquarters will also stay in Manhattan Beach, California, where it was founded. This acquisition comes at a time when Skechers had recently withdrawn its financial guidance due to macroeconomic uncertainties and trade policy concerns.
Skechers, known for its comfortable and stylish footwear, has experienced significant growth and market presence over the years. The acquisition by 3G Capital is expected to further enhance the company’s ability to innovate and expand globally.. The deal sets a significant precedent in the footwear industry, potentially influencing valuations and merger and acquisition activities across the sector.
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