"Authentic Brands Group has acquired a majority stake in Guess' intellectual property for $16.75 per share, according to financial filings Friday. Existing Guess shareholders - Maurice Marciano, Paul Marciano, Nicolai Marciano and Carlos Alberini and various financial affiliates - now own 49% of the brand's IP. Guess' current management also now owns 100% of the operating company and will continue to run that business, maintaining operations in Switzerland."
"Guess has been contemplating a sale since last March, when WHP Global offered $13 per share. With this ostensibly superior deal, Authentic adds to its vast portfolio of brand IP while the brand's major shareholders are left with the trickier aspects of running the enterprise. Forever 21's U.S. operator ran into trouble and declared bankruptcy last year; that brand IP is also owned by Authentic, although Authentic CEO Jamie Salter has expressed regret about acquiring the Forever 21 brand."
Authentic Brands Group acquired a majority stake in Guess' intellectual property for $16.75 per share and closed the transaction that takes Guess private. Existing Guess shareholders including Maurice, Paul and Nicolai Marciano and Carlos Alberini and affiliates retain 49% ownership of the brand's IP. Guess management now owns 100% of the operating company and will continue to run operations from Switzerland. The Guess board approved the deal in August and the transaction totals about $1.4 billion including debt. Guess had considered a sale since last March. The acquisition expands Authentic's portfolio of brand IP amid prior controversies tied to the Guess legacy.
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