Skechers to Delist, Go Private in $9.4B Deal Led by 3G Capital

Skechers USA, Inc. (SKX.US), a prominent footwear company listed on the U.S. stock exchange for 26 years, is set to delist and go private in a deal valued at $9.4 billion. The acquisition, led by 3G Capital, has received all necessary regulatory approvals and is expected to be completed on September 12. The deal offers shareholders two options: $63 per share in cash or a combination of $57 in cash plus one unit of equity in a newly established private parent company.

This acquisition marks one of the largest private equity transactions in the footwear industry, leading to Skechers' delisting from the public market after 26 years. 3G Capital plans to leverage its operational expertise to accelerate Skechers' global growth, innovation, and infrastructure investments. The $9.4 billion acquisition price is slightly lower than the market value of Birkenstock, but significantly higher than that of Crocs, Wolverine Worldwide, Steve Madden, and Weyco Group.

Skechers was listed on the New York Stock Exchange on June 9, 1999, with an opening price of $11 per share. Its highest closing price was $78.24 on January 30, 2025. Currently, the stock price is slightly above the $63 acquisition price. The decision to go private comes as Skechers faces challenges in the competitive footwear market, including declining sales and profitability exacerbated by the COVID-19 pandemic. By going private, Skechers aims to implement strategic initiatives and focus on long-term growth without the pressure of quarterly earnings reports and public market scrutiny.

The transaction is a significant milestone for Skechers, which was founded in 1992 and has grown into a global brand with a presence in over 170 countries. The company's portfolio includes a range of footwear products, from athletic and casual shoes to sandals and boots, and it has partnerships with several high-profile athletes and celebrities. The deal underscores the enduring vision of Robert Greenberg, who co-founded Skechers with his son, Michael Greenberg, in 1992. Under his leadership, the company has grown from a small startup into a global brand, and he has remained committed to its success even as it faces new market challenges. The investor group led by Greenberg includes several other prominent investors who share his vision for the company's future and are committed to supporting its growth and development.

The transaction is expected to have a significant impact on the footwear industry, as Skechers is one of the largest players in the market. The company's decision to go private is likely to be closely watched by other footwear companies, which may be considering similar moves in response to the challenges they face in the market. The transaction also highlights the growing trend of companies going private to gain more flexibility and focus on long-term growth. This move by Skechers is a strategic decision aimed at enhancing its operational efficiency and driving future growth in a competitive market landscape.