As part of the transaction, Sequential adds four consumer brands that include the fitness brand Avia, basketball brand AND1, outdoor brand Nevados and the home goods brand Linens 'N Things.
The acquisition will position Sequential as one of the largest pure-play brand licensing companies in the world, with a portfolio of 12 global consumer brands generating nearly $2 billion in global retail sales annually.
"This merger is a game changer for Sequential, as it doubles the scale of our brand portfolio and further diversifies our licensee and distribution platform,” says Yehuda Shmidman, chief executive officer, Sequential. “We were attracted to these four brands for both their existing licensing base as well as the strong prospects for continued organic growth in the future. We are thrilled that this acquisition also
Galaxy currently has more than 15 licensees with significant business at Walmart coupled with distribution to a wide range of mid-tier and specialty retailers.
The sale is expected to close by the end of the year, subject to customary closing conditions and regulatory approval.
Global alternative asset manager The Carlyle Group, which has a majority interest in Galaxy, will be granted one seat on Sequential's board of directors and will become a significant shareholder in the company post-transaction.
Read more about:
Subscribe and receive the latest news from the industry.
Join 62,000+ members. Yes, it’s completely free.