Apr 28, 2011
Iconix announces acquisition of worldwide rights to Ed Hardy
Apr 28, 2011
Iconix Brand Group Inc. recently announced it has acquired the worldwide master license for the Ed Hardy brand from Nervous Tattoo. Through this transaction, the Iconix will gain control of the licensing and marketing functions, and increase its total ownership stake in the Ed Hardy brand to 85%. Previously, the company had a small investment in the brand through its joint venture with Don Ed Hardy.
Ed Hardy Spring 2011 campaign
Iconix paid $55 million plus a $7 million earn-out for this acquisition, which allows Nervous Tattoo to continue as a licensee for Ed Hardy t-shirts, hats and hoodies. The group estimates that the Ed Hardy brand will generate total annual royalty revenue of approximately $15-16 million.
Don Ed Hardy, commented, "I am thrilled that Iconix has assumed control of the brand. This is exactly what I had envisioned two years ago, when I first partnered with Neil and his team. Iconix has a proven track record and I trust my namesake brand in their hands and look forward to a bright future."
For the first quarter of fiscal 2011, Iconix saw its total sales shoot up 29% to more than 92 million dollars. Its growing portfolio includes brands such as Zoo York, Ocean Pacific, Marc Ecko and Candie's. Today, Ed Hardy is sold in over 40 countries and 30 different categories including swimwear, fragrances, energy drinks, home goods and bags.
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