Sequential Finalizes Jessica Simpson Buy
Sequential Brands Group has closed its acquisition of the Jessica Simpson brand, taking a 62.5 percent stake in the company for $117.5 million, according to SEC documents.
In addition to the purchase price, Sequential Brands Group also gave With You and Corny Dog (two California-based companies of which Simpson is the sole stockholder) close to 98,000 shares of Sequential stock (valued at $0.01 per share) for the majority stake NewCo, which owns all assets related to the Jessica Simpson brand. Simpson will retain a 37.5 percent stake in NewCo through her company With You.
The deal includes master licensee rights to the brand, which is currently present in 31 categories and generates annual retail sales of close to $1 billion.