Authentic Brands Group Acquires Guess? for $1.4B in Take-Private Deal

Guess? stock surged 24.59% pre-market after the lifestyle products company announced a take-private transaction agreement with Authentic Brands Group, valuing GES at around $1.4 billion. The definitive agreement was signed for certain existing shareholders of Guess?.

Guess? (NYSE: GES), a global leader in fashion apparel, saw its stock surge 24.59% pre-market on July 2, 2025, following the announcement of a take-private transaction agreement with Authentic Brands Group. The agreement, valued at approximately $1.4 billion, represents a significant strategic move for the company.

The definitive agreement was signed for certain existing shareholders of Guess?, with Authentic Brands Group offering $16.75 per share, a 73% premium to the unaffected stock price. Under the terms of the deal, Authentic will acquire 51% of Guess?'s intellectual property, while the remaining 49% will be retained by the Rolling Stockholders. Current management, including co-founders Maurice and Paul Marciano and CEO Carlos Alberini, will maintain control of operations, owning 100% of the operating company.

The transaction, expected to close in the fourth quarter of fiscal 2026, requires shareholder approval and regulatory clearance. Upon completion, Guess? will be delisted from public markets. Despite the transition to private ownership, Guess? will continue to pay a quarterly dividend of $0.225 per share.

This strategic partnership with Authentic Brands Group, the world's second-largest licensor, is expected to provide Guess? with enhanced flexibility for long-term strategy as a private company. The move also underscores the company's commitment to innovation and growth, as seen in its recent expansions and product launches.

In the context of Guess?'s recent financial performance, the company reported Q1 fiscal 2026 results with revenues increasing 9% to $648 million in USD and 12% in constant currency. While the company posted a GAAP loss per share of $0.65 and an adjusted loss per share of $0.44, it updated its full-year outlook, expecting revenue growth of 5.5-7.4% and adjusted EPS between $1.32-$1.64.

The take-private transaction follows a series of strategic developments for Guess?, including its expansion into new markets and the launch of new product lines. The company's focus on sustainability and responsible business practices, as highlighted in its FY2024-2025 ESG Report, further underscores its commitment to long-term value creation.

References:
[1] https://www.stocktitan.net/news/GES/
[2] https://www.stocktitan.net/news/GES/