TLDR:
- Skechers has agreed to be acquired by 3G Capital for $63 per share, representing a 30% premium
- The $9.4 billion deal will take Skechers private after nearly three decades as a public company
- Skechers shares jumped 24% following the announcement
- The deal comes amid concerns about tariffs and trade tensions affecting the footwear industry
- CEO Robert Greenberg will remain in his position after the acquisition is completed
Skechers, the world’s third-largest footwear company, has agreed to be acquired by private equity firm 3G Capital for $63 per share in a deal valued at $9.4 billion. The transaction, announced Monday, will end Skechers’ 26-year run as a publicly traded company.
The purchase price represents a 30% premium over Skechers’ previous market valuation. Investors reacted positively to the news, sending the company’s stock up more than 24% by market close on Monday.
“With a proven track-record, Skechers is entering its next chapter in partnership with the global investment firm 3G Capital,” said Skechers’ CEO Robert Greenberg in a news release.
Greenberg highlighted 3G Capital’s history of supporting iconic global consumer businesses. He will stay on as CEO after the deal closes.
The acquisition comes at a challenging time for footwear retailers. The industry faces headwinds from potential drops in consumer spending and supply chain disruptions.
Tariff Concerns Loom
Last week, Skechers joined other footwear companies in requesting exemption from President Donald Trump’s tariffs through a letter organized by the Footwear Distributors and Retailers of America trade group.
The company had recently withdrawn its full-year 2025 guidance, citing “macroeconomic uncertainty stemming from global trade policies.”
While Skechers hasn’t disclosed how much of its supply chain is based in China, which currently faces 145% tariffs, the company noted that two-thirds of its business is outside the U.S.
According to a source close to the deal, trade tensions didn’t force Skechers into the transaction. 3G Capital had reportedly been interested in acquiring the company for years.
The same source indicated that while tariffs create short-term uncertainty, 3G Capital believes in Skechers’ long-term growth prospects.
Sports Connections
Skechers has been expanding its presence in the performance footwear market, particularly in basketball. The company signed Philadelphia 76ers star Joel Embiid to a multi-year endorsement deal last year, making him the face of its basketball division.
Other athletes representing the brand include Atlanta Hawks guard Terance Mann, Minnesota Timberwolves forward Julius Randle, and Los Angeles Sparks star Rickea Jackson.
The brand received additional visibility when Bayern Munich soccer star Harry Kane won the Bundesliga championship wearing Skechers boots.
The $9.4 billion valuation places Skechers in elite company. It exceeds the estimated value of most professional sports franchises, including the Golden State Warriors (valued at $9.1 billion) and all NFL teams except the Dallas Cowboys.
3G Capital’s portfolio already includes several major sports sponsors such as Anheuser-Busch, Tim Hortons, and Kraft Heinz.
Industry expert Matt Powell believes the acquisition will bring changes to Skechers. “Anytime private equity gets involved, there’s changes coming and quickly,” he said in an interview.
Powell also suggested that the influence of chairman Robert Greenberg and president Michael Greenberg may gradually decline despite them remaining in their roles.
Skechers ranks as the third-largest footwear company globally, behind only Nike and Adidas. The acquisition by 3G Capital represents one of the retail industry’s largest privatization deals in recent years.
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