Authentic Brands Group, which owns brands such as Brooks Brothers, Juicy Couture and Forever 21, is exploring the possibility of going public this year, according to people with knowledge of the matter.
The New York-based company has spoken with potential advisers about an initial public offering, said the people, who asked not to be identified because the information is private.
The company could seek a valuation of about $ 10 billion when it goes public, the people said. Their plans are not final and the size and valuation of the deal could still change, the people said. The company was valued at more than $ 4 billion, including debt, in a $ 875 million investment by BlackRock in 2019.
A representative for Authentic Brands declined to comment.
Founded and run by Jamie Salter, Authentic Brands acquired more than 30 brands over the years.
Salter started Authentic in 2010 with $ 250 million, collecting niche brands and celebrities, including licenses for Elvis Presley and Marilyn Monroe. By the time the pandemic hit, the company had nearly $ 15 billion in revenue and owned household names like Sports Illustrated and Nine West. In an August interview, Salter said he will now not consider deals of less than $ 1 billion.
For years, Salter avoided operational retailers, opting to buy only the intellectual property of bankrupt merchants.
Empire
That changed in 2016, when Salter partnered with the owners of America’s two largest shopping malls to buy bankrupt fashion retailer Aeropostale. With a series of retail bankruptcies, that led to other transactions, including the purchase of Forever 21, which went bankrupt last year.
Authentic Brands is also backed by investors such as BlackRock, General Atlantic, and Leonard Green & Partners. Representatives for General Atlantic, Leonard Green and BlackRock declined to comment.
Even before the disruption caused by the pandemic, a full retail shake-up was underway, with thousands of stores closing in the wake of dozens of retail bankruptcies. Salter said he is committed to maintaining a physical presence.
