RG Barry's New Majority Owner
Footwear News
Keeping you up to date on top news in the footwear industry, groundbreaking fashion trends and the who's who in shoes.
Welcome back to FN Daily, where we break down the biggest stories happening in footwear and retail.
Today, we have a story on RG Barry Corporation getting a new majority owner. Plus, Academy Sports and Outdoors reports earnings and Under Armour inks a new deal with USA Football.
Here's what you need to know.
Dearfoams Parent RG Barry Gets New Majority Owner, Eyes Acquisitions
RG Barry Corporation has a new majority owner.
The parent company to Dearfoams, Baggallini, Columbus Product Group and Planet A revealed it has been acquired by the Marubeni Growth Capital U.S. (MGCU) a subsidiary of the Tokyo-based Marubeni Corporation. MGCU is an initiative from Marubeni’s Next Generation Corporate Development Division, which focuses on growth opportunities in the consumer sector.
Under the deal, which closed on June 4, 2024, Blackstone will completely exit its minority ownership position in RG Barry. Private equity firm Mill Road Capital will maintain a minority equity stake and MGCU will take on an undisclosed majority stake. (When Blackstone and Mill Road took RG Barry private in 2014, Mill Road owned 50 percent, Blackstone owned 48 percent and a consortium of institutional investors owned the remaining 2 percent of the company.)
What's next: According to RG Barry chief executive officer Bob Mullaney, the acquisition will help fuel increase investments into RG Barry’s portfolio of existing brands. He is also targeting inorganic growth opportunities via new acquisitions, which will likely live in the footwear space.
Academy Sales Fall in Q1 as CEO Cites “Pressure” on Consumers
Academy Sports + Outdoors shares dipped in pre-market trading on Tuesday after the company missed sales and earnings expectations in the first quarter.
For the first quarter, net sales at the Katy, Texas-based retailer fell 1.4 percent to $1.36 billion, down from $1.38 billion in 2023. Net income for the quarter was $76.5 million, down 18.6 percent from $94 million the year prior. Adjusted earnings per diluted share were $1.08, down 16.9 percent from the prior year. Comparable sales were down 5.7 percent. Earnings and sales results in Q1 fell short of analysts’ projection from Yahoo Finance, which targeted EPS of $1.22 and sales of $1.38 billion.
According to Academy chief executive officer Steve Lawrence, the results reflected a consumer “under pressure in the current economic environment.”
领英推荐
“We will navigate through the remainder of the year by continuing to lean into our position as the value leader in our space, while also inspiring customers to shop through introductions and expansions of new and innovative products,” Lawrence said in a statement. “We will also continue making strategic investments in our long-range growth initiatives.”
Under Armour to Outfit US Flag Football Teams When Sport Makes Olympic Debut in 2028
Under Armour has inked a new deal with USA Football – the sport’s governing body in the United States and the organization responsible for creating and leading the U.S. National Teams – on a new multi-year partnership through the 2028 Summer Olympics in Los Angeles.
As part of the deal, the Baltimore-based sportswear brand will now become the official and exclusive uniform, apparel, and footwear partner of USA Football, including the U.S. men’s and women’s national teams.
The brand will dress the first Olympic team for the 2028 Summer Games as flag football and USA Football’s U.S. National Teams make their Olympic debut, Under Armour said.
Scott Hallenbeck, chief executive officer of USA Football, said in a statement that he believes this new partnership will help “reshape” the game from the youth level to the elite national teams.
Don't miss FN's 2024 Summit
During a critical period for the industry, FN is assembling the innovative architects at the center of the biggest success stories in shoes for a day-long summit on June 25 in New York. Register now!
Need more shoe news?
Got a tip? Send us a confidential note here.
Want more? Sign up here to receive FN's daily newsletter directly in your inbox.