Skechers has come to an agreement that marks the largest acquisition in the footwear industry, positioning 3G Capital as a private entity valued at $9.42 billion.
3G Capital has proposed a cash offer of $63 per share for Skechers, as announced by the brand on Monday. This offer reflects a 28% premium based on the stock’s closing price last Friday, as calculated by Reuters.
Following the news, the stock climbed 25%, reaching $61.86 after a significant drop of nearly 30% earlier this year, largely due to a retraction of its annual forecast in April and concerns over the impact of President Trump’s 145% import duties.
It’s noteworthy that China plays a crucial role in Skechers’ U.S. operations.
Skechers, along with notable names like Nike and Adidas America, has previously voiced its concerns via a letter from The Footwear Distributors and Retailers of America (FDRA).
American consumers appear to be cutting back on spending, likely due to anticipated price hikes stemming from tariffs, along with some major companies—as seen with McDonald’s and Harley-Davidson—struggling to deliver strong quarterly results.
Founded in 1992, Skechers is a California-based shoe brand that has become one of the largest globally, known for its casual athletic footwear, including popular styles like “Chrome Dome.” The brand initially launched publicly at $11 per share in 1999 and reported revenues of $8.97 billion for 2024.
“Amazing” deal
Analyst Tom Nikic from Needham suggested that factors like tariffs, declining consumer confidence, and an unpredictable macroeconomic climate—especially concerning relationships with China—could have prompted an accelerated negotiation for this deal. There’s a sense that Skechers may have aimed to navigate these challenges while under the watchful eyes of Wall Street.
This acquisition is quite unexpected, as Skechers has traditionally been viewed as a “family business.”
According to sources, Skechers did not formally run an auction process; rather, it engaged in a bilateral negotiation, given 3G Capital’s longstanding relationship with CEO Robert Greenberg.
Robert Greenberg will remain at the helm of the company, with Michael Greenberg as President and David Weinberg as Executive Director continuing their current positions.
Notably, 3G Capital, led by Brazilian billionaire Jorge Paulo Leman, is primarily recognized for its investments in the food and beverage sectors, including companies like Kraft Heinz.
The acquisition is anticipated to be finalized in the third quarter of 2025, funded through a combination of cash from 3G Capital and debt financing arranged by JPMorgan Chase Bank.
