US footwear giant Skechers, known globally for its iconic designs, is making headlines in a deal that could reshape the industry! In a move valued at $9.4 billion, the company announced it will be sold to private equity firm 3G Capital, with expectations to close the deal later this year. CEO Robert Greenberg will continue to lead Skechers as it transitions into a privately held entity.
The announcement comes amid growing concerns over hefty tariffs imposed by Trump's administration. Major brands have warned that these tariffs—ranging from more than 150% to nearly 220% on items such as children’s shoes—could spell disaster for the US footwear market. ⚠️
Despite a record $9 billion in 2024 revenue and an expansive network of 5,300 retail stores worldwide, Skechers' stock has taken a hit as industry leaders voice their worries over the consequences of these trade policies. The company is adjusting prices and sharing costs with vendors to counter the effects of macroeconomic uncertainty.
As experts caution that such measures may stifle significant investments and impact US jobs, the story of Skechers’ sale reflects broader challenges facing a market in flux. Stay tuned as we track how global trade policies continue to influence the future of the footwear industry! 👟
Reference(s):
US footwear giant Skechers to be sold under shadow of Trump's tariffs
cgtn.com
