Iconix to acquire Waverly brand from NexCen
By Furniture Today Staff -- Furniture Today, October 6, 2008
NEW YORK — Iconix Brand Group said last week it has agreed to acquire the assets of the Waverly brand, whose products include home furnishings fabrics, from NexCen Brands for $26 million in cash.
Iconix, which said the deal is expected to close within 30 days, said it is forecasting that royalty revenue from Waverly in the next 12 months will be approximately $12 million.
“With the acquisition of Waverly, the company is reinforcing its commitment to the home industry,” said Neil Cole, chairman and CEO of Iconix, which has a stable of other brands including Candie's, Joe Boxer, Ocean Pacific, Fieldcrest and Cannon.
“It also allows us to establish new partnerships for Iconix with a diverse group of retailers from Lowe's to JCPenney to Jo-Ann Fabrics within the home category. In addition, we believe our ability to finance this acquisition with our existing cash in the current economic environment demonstrates the strength of the Iconix business model,” said Cole.
Waverly, founded in 1923, has two direct-to-retail agreements, Waverly Home with Target and Waverly Home Classics with Lowe's.
Peter J. Solomon Co. was an adviser to Iconix for the acquisition.
