Lancer Capital, a private equity firm, recently agreed to purchase Iconix Brands in a deal worth $585 million, the deal is expected to close before the end of quarter three this year.
Iconix Brands owns several brands including Umbro, Starter, Mossimo, London Fog and others. Following the acquisition, Iconix Brands will transition to become a private company. The new deal also dictates that Lancer Capital will put $60 million in as equity capital. Silver Point Capital, a hedge fund, will provide debt financing for the acquisition.
“After a thorough and deliberative examination of all potential strategic alternatives, the Board of Directors determined that the transaction with Lancer provides the best value for our stockholders. We expect that Iconix will continue developing its brands and supporting its partners as a private company," said Bob Galvin, the Chief Executive Officer at Iconix.
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