Skechers has agreed to 3G Capital privately for $9.4 billion (£7 billion) in the footwear industry’s biggest acquisition to date, and will leave the national market in 26 years as popular shoe brands tackle the sudden impact of US tariffs.
Investment company 3G Capital is offering $63 (£47) per Skechers Share in Skechers on Monday. This represents the stock’s 28% premium at the end of Friday, according to Reuters calculations.
Skechers shares rose 25% to $61.86 on the news at $61.86, regaining some ground as they retracted their annual outcome forecast in April this year and warned of fallout from President Donald Trump’s 145% import duties.
China accounts for the majority of the brand’s US business.
Needham analyst Tom Nikic said talks on the deal could have been accelerated by tariffs, weakened consumer sentiment and the volatile macro environment of troubled relationships with China, and the company may have hoped to navigate these challenges under Wall Street scrutiny.
Skechers, Nike and Adidas America are among the companies that have urged Trump to exempt shoes from mutual tariffs as US companies face higher costs and shoppers step up their spending on potential spending in price increases.
Founded in 1992, California-based Skechers started out as a brand focused on men’s street style with the launch of the popular shoe chrome dome, but has now become known for its comfortable sneakers.
The company is fighting tough competition with legacy brands such as Nike and new participants such as Hoka, focusing on its aggressive global expansion and value. The prices for that shoe range from $75 (£56) to $150 (£113) on the website, with around 5,000 retailers in over 120 countries.
Marketing alliances with celebrities, including Britney Spears and Kim Kardashian, have also helped the brand to enhance its appeal and remain relevant.
Nikic said the deal was “very surprising” because Skechers has always been considered family-owned and the founding Greenberg family is very involved in the business.
Sources said Reuters Skeheses does not run the auction and the deal was bilateral as 3G Capital has a long relationship with Greenberg.
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The 85-year-old company’s CEO and founder, Robert Greenberg, will continue to lead the company, with President Michael Greenberg and executive director David Weinberg also continuing their roles.
3G Capital, the acquisition company controlled by Brazilian billionaire financier Jorge Paulo Leman, is best known for its investment in the food and drink sector through companies such as Kraftheinz.
“The playbook, which has boosted margins through cost reductions and efficiency in 3G, will certainly create the possibility that Skecher will be re-published in the distant future,” said an analyst at TD Cowen.
Skechers’ transactions are expected to close in the third quarter of 2025 and will be funded by a combination of cash provided by 3G capital and debt funds committed by JP Morgan Chase.