Latest news with #Greenbergs
Fashion Network
3 days ago
- Business
- Fashion Network
Skechers shareholder sues footwear maker for details on $9.4 billion 3G buyout
The complaint cited a Reuters article in which Needham analyst Tom Nikic called the buyout "very surprising" because Skechers was considered a family business. Sources said the Greenbergs eschewed an auction because of their long ties to 3G. Known for comfort-first sneakers, Skechers is the world's third-largest footwear maker. Skechers spokeswoman Jennifer Clay declined to comment on Friday, saying the Manhattan Beach, California-based company does not discuss pending litigation. The vast majority of large U.S. corporate mergers are challenged in court. Lawsuits seeking greater disclosures often end with defendants paying legal fees to plaintiffs' lawyers, and plaintiffs recovering nominal payouts or nothing. According to a regulatory filing, Greenberg, 85, could collect more than $1 billion from the buyout, which is scheduled to close in the third quarter. The buyout values Skechers at $63 per share in cash, 20% below its 52-week high of $78.82 set on January 30. Like other footwear makers including Nike, Skechers faces pressure from U.S. President Donald Trump 's tariffs. Many Skechers products come from China, and the company withdrew its full-year financial guidance in April. Brazil-based 3G is known for stringent cost-cutting, including at such companies as Anheuser-Busch InBev and Kraft Heinz. The case is Key West Police Officers & Firefighters Retirement Plan v. Skechers USA Inc. et al, U.S. District Court, Central District of California, No. 25-04863.
Forbes
05-05-2025
- Business
- Forbes
Skechers' Greenbergs Set To Pocket Up To $1.1 Billion From Sale To 3G
Skechers founders Robert Greenberg (left) and Michael Greenberg (right) started the brand more than 30 years ago in Manhattan Beach. Los Angeles Times via Getty Images On Monday, Brazilian investment firm 3G Capital, whose past bets include Burger King and Tim Hortons, agreed to pay nearly $9.5 billion to buy Skechers – known for its trendy and comfortable footwear – in a deal that will also take the company private. Skechers was founded in 1992 in Manhattan Beach, California by father-son duo Robert and Michael Greenberg, who will continue to run the newly private company together as CEO and president, respectively, after the deal closes. Along with their immediate family, they own 12% of the shoe maker and are set to pocket up to $1.1 billion in cash from the deal. 3G has offered to pay $63 in cash per share, a 28% premium on Skechers' share price as of market close on Friday. However, the Greenbergs (and other Skechers shareholders) also have the option to swap each of their nearly 18 million public Skechers shares for $57 in cash plus one share of the newly private company that will become the parent of Skechers. If they do this, they will walk away with $1 billion in cash and about $100 million in equity in the new private company. The Greenbergs have not said which option they will choose. A representative for Skechers declined to comment. Whatever riches the Greenbergs end up with will be divided between Robert, Michael and Robert's five other children – Jennifer Greenberg Messer, Scott Bruce Greenberg, Jeffrey Alan Greenberg, Jason Aaron Greenberg and Joshua Adam Greenberg – who are all listed as beneficiaries of two trusts that hold the family's Skechers shares. Josh and Jason are also executives at Skechers, while the rest of the family trusts' beneficiaries except for Scott, have non-executive positions at the company, according to Skechers' latest proxy statement. Before Skechers, Robert Greenberg tried many different ways to get rich. After beginning his career as a hairstylist in Brookline, Massachusetts, the Greenberg patriarch opened his own hair salon in 1962 followed by a mail-order wig-and-toupee business. He then tried (in some cases with moderate success) selling antique clocks imported from South Korea, electronic tweezers, jeans, roller skates and 'E.T.'-themed shoe laces. One business he started, L.A. Gear, which sold a copycat version of Reebok sneakers, took off, briefly surpassing $800 million in sales in 1990. But it came crashing down a year later, ultimately leading to Robert being forced out of the business. That's when Greenberg and his son Michael started Skechers. Originally founded as a distributor of Doc Martens shoes and boots, the cofounders soon found a niche importing footwear from Asia mimicking popular American styles at a cheaper price. They took the company public in 1999 and have since grown it into one of the biggest footwear companies in the world. The Skechers sale is expected to close in the third quarter of this year. It follows a period of impressive growth for the company, which reported a record $9 billion in revenue last year. Today, Skechers sells a wide variety of both fashion and athletic shoes with prices that range from around $45 to $125, according to Skechers' website. 'Over the last three decades, Skechers has experienced tremendous growth,' Robert Greenberg said in a statement in the Monday announcement. 'Our success has been due to our commitment to excellence and innovation across the entire Skechers organization, in-demand comfort-focused product offering, and loyal partners.' Some 62% of Skechers' sales came from outside the U.S., and that portion looks set to increase in years to come. In a recent investor presentation on future growth, the company highlighted its global business, including its presence in 180 countries and the fact that its EMEA business (Europe, Middle East and Africa) grew at a compound annual growth rate of double the U.S. over the past four years. The deal with 3G comes at a time of economic uncertainty as retailers deal with punishing tariffs levied by the Trump administration, including a 145% tariff on products imported from China. Skechers in particular revealed in its 2024 annual report that 'substantially all' its sales for the year in 2024 were derived from footwear manufactured outside of the U.S. – with most of its shoes coming from Vietnam and China. The company withdrew its annual outlook last month, saying it could not predict its earnings 'due to macroeconomic uncertainty stemming from global trade policies.' Investment firm 3G appears to be betting on Skechers' long-term growth but the Greenbergs may be cashing in at a good time.
Business Journals
28-04-2025
- Business
- Business Journals
Dining news: Rita's Italian Ice launches new flavor; Tela's to close in Fairmount
By submitting your information you are agreeing to our Privacy Policy and User Agreement . Join the Philadelphia Business Journal to unlock even more insights! As one Fairmount restaurant prepares to close, two ice cream shops are readying to open in Rittenhouse Square. With the weather warming up, Stephen Starr's seasonal Parisian cafe is set to return for its fourth year and Center City District is bringing back its annual Sips summer happy hour. Rita's Italian Ice & Frozen Custard is adding a new limited-time flavor ahead of summer, and two new ice cream shops are ready to open in Rittenhouse Square. Here's what you need to know about the Greater Philadelphia dining scene this week: GET TO KNOW YOUR CITY Find Local Events Near You Connect with a community of local professionals. Explore All Events Rita's launches new flavor Rita's Italian Ice & Frozen Custard added a soda-inspired flavor ahead of the summer season. The Trevose-headquartered dessert maker started selling a limited-time cola Italian Ice at all of its locations across the country on Friday. The new flavor is meant to give customers the taste of "old-school cola nostalgia." Rita's new flavor will also be served in a Cola Float Gelati, made with layers of cola Italian Ice and vanilla frozen custard, and a Twisted Cola Blender that tops the cola Italian ice with CocoLime Cream. With the blender, Rita's aims to jump on a recent social media trend of beverage experimentation, Rita's senior director of marketing Madalyn Weintraub said in a statement. Last month, Rita's launched a limited-time Skittles Italian ice and Skittles Pop'd freeze-dried candy topping in partnership with the rainbow-colored candy's owner Mars Inc. expand Tela's Market & Kitchen in Fairmount will shutter next month after more than 11 years in operation. Google Maps Tela's closing in Fairmount Fairmount restaurant Tela's Market & Kitchen plans to close its doors next month. The concept will shutter after brunch service on May 4, owners Daniel and Alex Greenberg announced in a social media post on April 21. Tela's is located on the ground floor of 1833 Fairmount Ave., an apartment building developed by Daniel's North Broad Living. In the post, the Greenbergs said it is "simply time to move on" after more than 11 years of running the eatery. "We will miss the breakfast meetings, our laptop remote-workers, our happy hour and dinner guests, our bottle-shop wine customers, and our weekend brunch crowd," the owners wrote. The Greenbergs added that they hope to share who is moving into the Tela's space in the coming months. Tela's Market & Kitchen opened in late 2013. The concept offers breakfast, lunch, dinner, happy hour and weekend brunch. expand Brooklyn-based ice cream shop Malai will make its Philadelphia debut next month when it opens a location in Rittenhouse Square. Morgan Ione Yeager Malai, Weckerly's ready for Rittenhouse debuts Two ice cream shops are preparing to open in Rittenhouse Square next month. Fishtown spot Weckerly's Ice Cream will debut at 1600 Spruce St. on May 9. The following week, Brooklyn-born South Asian shop Malai will open to the public on May 17 at 260 S. 18th St. Weckerly's Rittenhouse Square shop, first reported by the Business Journal last fall, will serve up to 24 rotating small-batch ice cream flavors, along with its traditional ice cream sandwiches and to-go pints. This new location, however, will expand its offerings by selling coffee, tea, vegan ice cream flavors, and soft-serve ice cream. Owner and CEO Christina Torres took over Weckerly's in late 2023. Since then, she has expanded the business with a second location in the King of Prussia Mall. expand Weckerly's Ice Cream will open at 1600 Spruce St. next month. Weckerly's Ice Cream Malai's Philadelphia outpost will span 1,500 square feet and seat 15 people inside. The ice cream shop was founded in 2015 by Pooja Bavishi, a Pennsylvania native and winner of Food Network's Chopped Sweets competition. Bavishi will offer a new flavor, Cinnamon Honeybun, for the Philadelphia shop's opening. The ice cream flavor is inspired by Tastykake's Honey Buns. Quick bites: Cherry Hill Jewish delicatessen The Kibitz Room has opened its second location in King of Prussia. The 128 Town Center Road restaurant is open on weekdays from 7 a.m. to 9 p.m. and weekends from 8 a.m. to 9 p.m. has opened its second location in King of Prussia. The 128 Town Center Road restaurant is open on weekdays from 7 a.m. to 9 p.m. and weekends from 8 a.m. to 9 p.m. Philadelphia-born chain Federal Donuts & Chicken opened its first location in South Jersey at 300 Route 73 S. in Marlton on Friday. The fried chicken, coffee and donut shop is the first of four locations for franchisees Mark Heinz and Debbie Grady, with another lease signed for an undisclosed location in Princeton. opened its first location in South Jersey at 300 Route 73 S. in Marlton on Friday. The fried chicken, coffee and donut shop is the first of four locations for franchisees Mark Heinz and Debbie Grady, with another lease signed for an undisclosed location in Princeton. Center City District's Sips returns for its 21st season on June 4. The popular summertime happy hour will run every Wednesday through Aug. 27 from 5 to 7 p.m., featuring food and drink discounts at dozens of bars and restaurants throughout the city. returns for its 21st season on June 4. The popular summertime happy hour will run every Wednesday through Aug. 27 from 5 to 7 p.m., featuring food and drink discounts at dozens of bars and restaurants throughout the city. Restaurateur Stephen Starr's Parisian outdoor eatery Café Click will reopen at the Comcast Center Plaza for the summer season on May 5. The cafe will serve lunch and dinner on weekdays from 11 a.m. to 8 p.m. through October. will reopen at the Comcast Center Plaza for the summer season on May 5. The cafe will serve lunch and dinner on weekdays from 11 a.m. to 8 p.m. through October. The Asian American Chamber of Commerce is launching a new 10-day initiative called Asian Eats. Running May 1-11, the program will include special food and beverage menus at restaurants throughout Philadelphia's Chinatown neighborhood, with the goal of highlighting neighborhood concepts during AAPI Heritage Month. 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