Brazilian investment firm 3G Capital has agreed to acquire Skechers in a $9.5 billion deal, marking one of the biggest retail buyouts of the year. The transaction will take Skechers private, with the Greenberg family retaining leadership of the company they founded over three decades ago.
The all-cash offer values Skechers at $63 per share, a 28% premium over its last closing price. For the Greenberg family, who collectively own 12% of Skechers, the deal could bring up to $1.1 billion in cash, depending on how they structure their share swap.
The Greenbergs’ billion-dollar payday
Skechers was founded in 1992 by Robert Greenberg and his son Michael Greenberg in Manhattan Beach, California. Both will stay on post-acquisition, as CEO and President, respectively. The family’s stake is held through trusts benefiting Robert’s six children, several of whom are also involved in the business.
The deal offers two payout options for shareholders: a full cash exit at $63 per share, or a hybrid option — $57 in cash plus equity in the new private company. The Greenbergs haven’t disclosed which option they’ll pursue.
As seen in Millionaire MNL, family-run empires like Skechers often weigh liquidity against long-term influence. This deal structure gives them flexibility to do both.
From hair salons to global sneaker giant
Before Skechers, Robert Greenberg’s entrepreneurial path was anything but smooth. He started with a hair salon, dabbled in wig mail-orders, and even sold E.T.-themed shoelaces. His first major success came with L.A. Gear, a sneaker brand that soared in the late 80s but collapsed by 1991.
That failure led to Skechers, initially a distributor of Doc Martens, which pivoted to making affordable versions of popular American footwear styles. Going public in 1999, Skechers has since grown into a global footwear powerhouse.
Skechers’ global play and tariff headwinds
In 2023, Skechers hit a record $9 billion in revenue, with 62% of sales coming from international markets. Its presence spans 180 countries, with Europe, the Middle East, and Africa (EMEA) regions outpacing U.S. growth.
Yet, challenges loom. Skechers sources most of its products from Vietnam and China, making it vulnerable to escalating U.S. tariffs, including a 145% tariff on Chinese imports. The company recently withdrew its earnings forecast, citing macroeconomic uncertainty tied to global trade policies.
As mentioned by Millionaire MNL, these headwinds make 3G Capital’s timing both bold and opportunistic. For Skechers, the buyout offers stability. For the Greenbergs, it could be a well-timed cash-out.
A strategic bet for 3G Capital
3G Capital, known for high-profile deals with Burger King and Tim Hortons, is betting on Skechers’ long-term global growth. The firm’s track record of scaling consumer brands suggests a playbook of operational efficiencies and international expansion.
“The success of Skechers has been built on innovation, comfort, and loyal partnerships,” Robert Greenberg said in a statement. “We’re excited for the next chapter.”
The deal is expected to close in Q3 2025, pending regulatory approvals.
Source: Forbes
