Authentic Brands Group Gets a $875 Million Investment
The Authentic Brands Group acquired the Costa Mesa, Calif., Volcom label and media property Sports Illustrated respectively in April and May of this year. It also owns brands and licenses including Nautica, Vince Camuto, Nine West, Hervé Leger, Aeropostale, Frederick’s of Hollywood, Juicy Couture, Elvis Presley, Marilyn Monroe and Muhammad Ali.
The company’s portfolio of 50 brands makes $10 billion in annual worldwide revenue, according to a company statement.
Investors must like what they see. On Aug. 11, investment-management company BlackRock, Inc.’s Long Term Private Capital fund invested $875 million in the Authentic Brands Group.
“ABG is an innovator in the licensing and branding industry,” said Colm Lanigan, a senior manager of the Long Term Private Capital team. “They’ve established this company as a leader in the licensing industry by successfully capitalizing on trends and continuing to innovate in the evolving consumer space.”
Jamie Salter, ABG’s chairman and chief executive officer, said that the investment would be used to build his organization and further develop domestic and international growth. ABG looks to have a foot in every market, according to a company statement. Its portfolio spans the luxury, specialty and mid-tier retail channels in both e-commerce and bricks and mortar.