Authentic Brands Group, the US brand management firm, has filed for an initial public offering (IPO). The intent is to expand its revenue as well as intellectual property folio.
The initial offering is for US $ 100 million, which in all likelihood may increase.
In a letter to probable investors, Authentic Brands Group’s CEO Jamie Salter noted that the Group has completed over 30 brand acquisitions and works with over 700 operating partners across the world.
The letter also stated that the Group generates US $ 10 billion in gross merchandise value via sales of its brands’ products.
In the letter, the CEO clearly told the investors that Authentic Brands Group are brand owners, curators and guardians and a licensing business that’s solely focused on brand identity and marketing.
That makes the NY-based Group high on margins and light on assets.
The company enjoys 70 per cent margins on its adjusted EBITDA, and has big plans to expand global sales of its current brands. Presently, it brings licensing revenue from 136 countries – majorly North America.
Notably, Sparc Group is one of its partners, which the Group co-owns with Simon Property Group, and which owns Brooks Brothers, Forever 21, Eddie Bauer and other retailers.
