Skechers announced Monday it will be acquired by 3G Capital for $9.4 billion in a take-private deal that comes amid escalating trade tensions and supply chain uncertainty. The Brazilian private equity firm will pay $63 per share, representing a 30% premium over Skechers' recent market value, ending the footwear brand's nearly 30-year run as a publicly traded company.
"With a proven track-record, Skechers is entering its next chapter in partnership with the global investment firm 3G Capital," said Robert Greenberg, CEO of Skechers. The company's shares surged more than 25% following the announcement.
Skechers, headquartered in Southern California and operating over 5,300 U.S. stores, is the world's third-largest footwear brand behind Nike and Adidas. The company imports all of its U.S.-sold shoes, with around 40% manufactured in China and another 40% from Vietnam. Children's footwear is primarily sourced from China.
The transaction arrives as the footwear sector confronts rising costs from President Donald Trump's sweeping tariff policy, including a 145% duty on Chinese imports and a 10% minimum tariff on goods from other countries. Ninety-nine percent of footwear sold in the U.S. is produced overseas, according to the Footwear Distributors and Retailers of America.
Skechers joined other industry leaders last week in a letter urging the Trump administration to exempt footwear from the new tariffs. "American footwear businesses and families face an existential threat from such substantial cost increases," the companies wrote. "This is an emergency that requires immediate action and attention."
Facing mounting uncertainty, Skechers recently withdrew its full-year 2025 guidance, citing "macroeconomic uncertainty stemming from global trade policies." Prior to the buyout announcement, its stock had fallen 26% this year amid fears over trade war impacts, making it an attractive target for private acquisition.
"Although the business does face short-term disruption - as does every sneaker player - the longer-term trajectory remains positive," said Neil Saunders, managing director at GlobalData Retail. Analysts say the privatization gives Skechers strategic flexibility during a volatile retail climate.
A person close to the deal, speaking anonymously, said 3G Capital had been exploring a purchase for years and was not pressured into action by current tariff conditions. Still, the firm views Skechers' global footprint-two-thirds of its business lies outside the U.S.-as a hedge against domestic policy shifts.
Skechers shareholders will also have the option to receive $57 per share in cash and roll the remainder of their equity into the new private entity. The structure echoes 3G's past consumer takeovers, including Burger King and Kraft Heinz.
