Reuters has reported that Authentic Brands Group has withdrew its plans for a United States initial public offering. No firm reason was given for the cancellation of the IPO. In November, the company agreed to sell a stake to private equity firms CVC Capital Partners and HPS Investment Partners in a deal valued at 12.7 billion dollars including debt.
Authentic Brands Group has still been on an acquisition spree over the past two years. The company recently added Reebok to their portfolio. In July 2020, the company announced plans to go public after strong 2020 earnings in a year where most apparel companies saw earnings sink.
Just this week, it was reported the company bought a majority stake in DB Ventures LLC, David Beckham’s brand management company, but a spokesperson for the brand refuted this news. ABG CEO Jamie Salter has said the IPO could be postponed until next year or even 2024.