Iconix scores with acquisition of iconic soccer brand
NEW YORK — Iconix Brand Group has acquired the Umbro brand from Nike for $225 million in cash.
The purchase price was funded with Iconix’s recently completed $600 million securitized financing facility, which gives the company flexibility to pursue other deals. Iconix chairman and CEO Neil Cole alluded to that possibility in commenting on the Umbro acquisition.
"We are thrilled to be adding Umbro to our portfolio of iconic brands," Cole said. "In addition, we believe our ability to secure financing at an attractive price highlights the strength of our brands and our business model. Acquisitions remain a key focus for our company and with our new securitization in place we believe we have significant financial flexibility and are well positioned to continue to grow our business and execute on our acquisition strategy."
Iconix owns 29 consumer brands in the fashion, athletic, electronic, home and entertainment industries, many of which are available through exclusively at retailers such as Walmart, Kohl’s and Target. Brands marketed by Iconix include Candie’s, Bongo, Joe Boxer, Rampage, Mudd, Mossimo, London Fog, Ocean Pacific, Danskin, Rocawear, Cannon, Fieldcrest, Starter, Waverly, Ed Hardy and Sharper Image.
With the acquisition of Umbro, the company's brands will generate approximately $13 billion in retail sales globally, with more than $2.5 billion attributable to the company's portfolio of athletic brands.
Umbro was founded in 1924, and is regarded by many as the original global soccer brand. Today, it combines its British heritage with a modern soccer lifestyle to create sports apparel and footwear.