Press Release

Printer Friendly Version View printer-friendly version
<< Back
Iconix Brand Group, Inc. Announces Closing of Danskin Acquisition

NEW YORK, March 12 /PRNewswire-FirstCall/ -- Iconix Brand Group, Inc. (Nasdaq: ICON) ("Iconix" or the "Company") announced today that the Company has completed the acquisition of the brand Danskin(R).

The purchase price for the transaction was $70 million with a contingent payment of an additional $15 million, to be payable in cash or stock, based on the brand exceeding certain revenue and performance targets. The acquisition was self-funded from the Company's cash reserves. Danskin is anticipated to generate approximately $15 million in royalty revenue in its first twelve months under the Iconix umbrella.

Danskin is a 125 year-old iconic brand of women's active wear, leg wear, dance wear, yoga apparel and fitness equipment. The brand is sold through better department, specialty and sporting goods stores, and through fifteen freestanding Danskin boutiques and Danskin.com. Danskin also has a partnership with Wal-Mart Stores for its "Danskin Now (R)" brand of apparel and fitness equipment.

Iconix Brand Group Inc. (Nasdaq: ICON) owns, licenses and markets a growing portfolio of consumer brands including CANDIE'S(R), BONGO(R), BADGLEY MISCHKA(R), JOE BOXER(R), RAMPAGE(R), MUDD(R), LONDON FOG(R), MOSSIMO(R), OCEAN PACIFIC(R) and DANSKIN(R). The Company has also announced that it has entered into a definitive agreement to purchase the brand ROCAWEAR(R). The Company licenses its brands to a network of leading retailers and manufacturers that touch every major segment of retail distribution from the luxury market to the mass market in both the U.S. and around the world. Iconix, through its in-house advertising, promotion and public relations agency, markets its brands to continually drive greater consumer awareness and equity.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995. The statements that are not historical facts contained in this press release are forward looking statements that involve a number of known and unknown risks, uncertainties and other factors, all of which are difficult or impossible to predict and many of which are beyond the control of the Company, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. Such factors include, but are not limited to, uncertainty regarding the results of the Company's acquisition of additional licenses, continued market acceptance of current products and the ability to successfully develop and market new products particularly in light of rapidly changing fashion trends, the impact of supply and manufacturing constraints or difficulties relating to the Company's licensees' dependence on foreign manufacturers and suppliers, uncertainties relating to customer plans and commitments, the ability of licensees to successfully market and sell branded products, competition, uncertainties relating to economic conditions in the markets in which the Company operates, the ability to hire and retain key personnel, the ability to obtain capital if required, the risks of litigation and regulatory proceedings, the risks of uncertainty of trademark protection, the uncertainty of marketing and licensing acquired trademarks and other risks detailed in the Company's SEC filings. The words "believe", "anticipate," "expect", "confident", "project", provide "guidance" and similar expressions identify forward-looking statements. Readers are cautioned not to place undue reliance on these forward looking statements, which speak only as of the date the statement was made.

    Contact:
    Warren Clamen
    Chief Financial Officer
    Iconix Brand Group
    212.730.0030

    Joseph Teklits
    Integrated Corporate Relations
    203.682.8200
SOURCE  Iconix Brand Group, Inc.
    -0-                             03/12/2007
    /CONTACT:  Warren Clamen, Chief Financial Officer of Iconix Brand Group,
+1-212-730-0030; or Joseph Teklits of Integrated Corporate Relations,
+1-203-682-8200, for Iconix Brand Group/
    /Web site:  http://iconixbrand.com
                http://www.Danskin.com/
    (ICON)

CO:  Iconix Brand Group, Inc.; Danskin
ST:  New York
IN:  FAS REA
SU:  TNM

WM-CF
-- CLM085 --
6791 03/12/2007 08:00 EDT http://www.prnewswire.com


Print Page Print Page | RSS Feeds RSS Feeds | E-mail Alerts E-mail Alerts | IR Contacts IR Contacts