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Footwear brand Skechers (SKX) announced it has agreed to be acquired by 3G Capital in a deal to take the shoemaker private worth up to $9 billion.
This comes after Skechers and other footwear companies penned a letter to President Trump asking for tariff exemptions.
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Some breaking news crossing the wire here. Footwear company Skechers said today it had agreed to be acquired by investment firm 3G Capital in a deal worth $9.4 billion. Shares of the company surging amid the news that it will go private for $63 a share, up over 25%.
The transaction is expected to close in the third quarter of this year, and the deal will be financed through a combination of cash provided by 3G Capital, as well as debt financing that has been committed by JP Morgan Chase. Skechers has a market value of about $7.4 billion and brought in $9 billion in revenue last year. The sneaker brand withdrew its full-year guidance in April, citing macroeconomic uncertainty stemming from global trade policies. US President Donald Trump's trade war has impacted manufacturing hubs, such as Vietnam and China, where Skechers makes a significant portion of its shoes. The company is now adjusting prices and working with vendors to mitigate costs.
