Authentic Brands Group Acquires Sperry
Authentic Brands Group has added another company to its stable — Sperry, the quintessential boat shoe brand.
Early Thursday, the New York-based brand development, entertainment and marketing platform said it purchased the American heritage footwear brand. At the same time, it has inked a deal with the Aldo Group to serve as Sperry’s North American operating partner for wholesale, e- commerce and store operations, as well as the brand’s partner for footwear design, production and distribution globally.
More from WWD
The sale price was not disclosed, but Wolverine World Wide, Sperry’s parent, said the deal was completed on Jan. 10, and will generate total proceeds of approximately $130 million in the first quarter to pay down debt.
“We are excited to bring Sperry into the Authentic platform,” said Jamie Salter, chairman and chief executive officer of Authentic. “Sperry’s influence extends far beyond fashion, embodying a lifestyle that celebrates exploration. We look forward to launching Sperry into a new era alongside Aldo Group, an incredible partner and leader in the footwear industry.”
Sperry, whose history dates back over 90 years, is known for its signature boat shoes. Next week during Paris Fashion Week the brand will unveil its first collection with Chris Echevarria of Blackstock & Weber, who was named creative director for Sperry last fall. The line will be shown on Jan. 17 at Kith’s Paris Fashion Week show before going on sale to the public the following day.
As a result of the acquisition, Authentic said it will leverage its global network of operating partners to grow the Sperry’s product offerings and expand its market share around the world as it converts the business into a licensed model. Particular focus will be placed on the APAC region.
“I’m thrilled to further deepen our partnership with Authentic and to announce that Sperry, an iconic casual brand we’ve long admired, is joining the Aldo Group,” said David Bensadoun, CEO of Aldo Group. “At our core, we are retailers where the direct relationship with the consumer is key. We’re looking forward to adding 23 Sperry stores to the 430 other branded stores we operate in North America, as well as welcoming Sperry’s store employees to our team. Our powerful operational structure for stores, wholesale and e-comm has been built over five decades, and we’re excited to put our deep experience to use right away elevating Sperry.”
Last spring, Wolverine said it was exploring strategic alternatives for the business. In announcing the deal on Thursday, Chris Hufnagel, president and CEO of the Rockford, Mich.-based Wolverine, said: “The sale of the Sperry brand is the next step in our turnaround and strategic transformation. We conducted a rigorous process that considered a comprehensive set of strategic alternatives for the brand, and we believe this is the best outcome for the company and our vision for the future.”
The sale of Sperry is part of Wolverine’s previously announced asset monetization transactions that generated nearly $250 million in cash in 2023. That includes the sale of the Keds brand to Designer Brands, Inc. for over $90 million, along with the exclusive license for Hush Puppies footwear in the U.S. and Canada. It also transferred the operation of its Sweaty Betty brand to its international group based in London and sold the U.S. Wolverine Leathers business to New Balance in August for $6 million.
“In a very short time, we have meaningfully reshaped Wolverine World Wide — simplifying the portfolio, reducing our debt, and redesigning the organization to drive improved performance and profitability,” Hufnagel added. “These efforts have enhanced the company’s capacity to invest in our brands and platforms, and I am excited about the next chapter in our turnaround – focused squarely on building consumer-obsessed global brands and delivering greater value for our shareholders.”
Centerview Partners, LLC, served as financial advisors to Wolverine and Honigman LLP and Warner, Norcross + Judd LLP served as legal advisors.
Authentic Brands Group owns more than 50 brands including Reebok, Nautica, Forever 21 and Brooks Brothers, a portfolio that generates more than $29 billion in annual sales.
Best of WWD
