Mergers & Acquisitions

It’s not easy to stay on top of the latest company realignments in the retail industry. It’s a volatile environment — across retailer segments as well as solution provider organizations. As soon as the announcements are made, Retail TouchPoints publishes an article covering the news, in this Mergers & Acquisitions section. Learn about the latest developments here.

EBay Sells StubHub For $4.05 Billion

eBay has entered a definitive agreement to sell StubHub to viagogo, a global ticket marketplace for live sports, music and entertainment events, for $4.05 billion in cash. The transaction is expected to close in Q1 2020, subject to regulatory approval and customary closing conditions. Eric Baker, Founder and CEO of viagogo, co-founded StubHub while he was in business school, but left before eBay purchased the company for $310 million in 2007. He has since sought to combine the two companies, which will together sell hundreds of thousands of tickets daily across more than 70 countries.

LVMH To Acquire Tiffany For $16.2 Billion

LVMH has entered into a definitive agreement to acquire Tiffany for $135 per share in cash in a transaction valued at $16.2 billion. The news comes less than a month after LMVH made an unsolicited bid that valued Tiffany at $14.5 billion, or $120 per share. The deal will strengthen LVMH’s presence in the global jewelry market and the U.S. in particular by adding the retailer’s more than 300 locations to its luxury store footprint. The deal has been approved by both companies’ Boards of Directors and is expected to close in mid-2020, following the approval of Tiffany’s shareholders and the relevant regulatory bodies.

Episerver Acquires 1:1 Personalization Provider Idio

Episerver has signed an agreement to acquire Idio, a content personalization and analytics platform. The acquisition is designed to accelerate the analytics and personalization roadmap for the Episerver Customer-Centric Digital Experience Platform and address the state of buying experiences and expectations.

PayPal Acquires Deal-Finding Platform Honey For $4 Billion

PayPal has acquired Honey Science Corp., an e-Commerce browser extension plugin, for $4 billion. Honey is best known as a discovery tool, designed to help consumers find savings as they shop online. Once installed, Honey tracks price changes on retailer web sites; it also can automatically input coupon codes when a user enters an online checkout. If no coupons are available, Honey also may offer loyalty points that can be redeemed as gift cards.

Coty Acquires Majority Stake In Kylie Jenner’s Beauty Business For $600 Million

Coty has acquired 51% of Kylie Cosmetics and Kylie Skin for $600 million, valuing the beauty brands at approximately $1.2 billion. In acquiring a majority stake, Coty aims to focus on expanding the brands globally and entering them into new categories. Kylie Cosmetics Founder Kylie Jenner and her team will continue to lead all creative efforts related to product and communications initiatives at both brands. Coty will be responsible for the portfolio’s development, leveraging its capabilities in R&D, manufacturing, distribution, commercial and go-to-market expertise, as well as its understanding of the fragrances, cosmetics and skincare categories. Coty also will act as a licensee for skincare, fragrances and nail products.

Le Tote Names President Of Lord + Taylor, Finalizes Purchase

Le Tote has named Ruth Hartman President of newly acquired Lord + Taylor. Hartman, who brings more than 30 years of retailer experience to the role, has served as Chief Merchandising Officer of Le Tote since 2014 and has held executive positions at Macy’s and DSW. In August, Hudson’s Bay Co. (HBC) revealed it was selling Lord + Taylor, the iconic U.S. department store, to Le Tote for $100 million, marking the rare instance where a digitally native brand acquired a larger traditional retailer. 

Investment Firm Acquires Sugarfina Out Of Bankruptcy For $15 Million

Two months after filing for Chapter 11 bankruptcy, luxury candy retailer Sugarfina has a new owner. The Bristol Luxury Group, a subsidiary of investment firm Bristol Capital Advisors LLC, won the auction to purchase the assets of Sugarfina for $15.1 million. Barlock Capital and Scott LaPorta join Bristol as co-investors, with LaPorta now serving as CEO of Sugarfina.

Manthan And RichRelevance Lay Groundwork For Consolidation

Manthan, an AI-powered cloud analytics software company, has formed a strategic alliance with personalization software provider RichRelevance. The companies have initiated a joint go-to-market that will set them on a path to consolidate their businesses in the coming year. Together, RichRelevance and Manthan will deliver an end-to-end Algorithmic Customer Experience marketing solution that includes a B2C Customer Data Platform, Retail Marketing and Merchandising solution and Real-time Personalization with advanced data science. The solution is designed to help retailers and brands algorithmically discover new segments and target their most profitable customers, automatically test for and deliver relevant content across all touch points, and manage and deploy data science models at scale by leveraging AI.

G3 Communications Acquired By Emerald Expositions

Retail TouchPoints parent company G3 Communications has been purchased by Emerald Expositions Events, a B2B trade show and conference producer based in San Juan Capistrano, Calif. The acquisition builds on the successful partnership G3 launched earlier this year with Emerald to produce the Retail TouchPoints Live! segment of the RetailX conference, held annually in Chicago. Addressing the continued convergence of digital and physical channels and strategies, RetailX brought together GlobalShop, IRCE & RFID Journal Live! While each show retained own identity, the collocation provided access to more than 1,200 exhibitors under one roof.

Nike Divests Hurley To Sharpen Focus On Consumer Direct Offense Initiative

Nike will sell the Hurley brand to brand management company Bluestar Alliance for an undisclosed sum. Bluestar plans to build on Hurley’s existing global presence and evolve the brand into a complete lifestyle portfolio, with action sports playing a key role. Nike acquired Hurley in 2002 and has since grown the brand to 29 stores, including both factory and employee-only locations. The divestment will allow Nike to narrow its efforts and increase its investment in digital initiatives.

LVMH Makes Unsolicited $14.5 Billion Bid For Tiffany

Tiffany & Co. has received an unsolicited $14.5 billion acquisition proposal from luxury fashion house LVMH. Tiffany confirmed the offer and noted that the parties are not in discussion, but the retailer’s Board of Directors is reviewing the proposal as part of its fiduciary responsibilities. The deal values Tiffany at $120 per share, a 20% premium over the stock’s price as of Oct. 28, and would bring Tiffany under the same umbrella as luxury brands such as Louis Vuitton and Bulgari. However, Tiffany noted in a press release that it is “successfully executing on its business plan and remains focused on achieving its goal of becoming The Next Generation Luxury Jeweler.”

Accenture Acquires Happen To Bolster Innovation Consulting Practice

Accenture has acquired Happen, a UK-based global innovation consultancy. Happen uses proprietary methods, frameworks and digital tools to help companies generate new ideas, products and services to drive growth. Terms of the acquisition were not disclosed. Happen is focused on the retail, consumer goods, food and beverage and life science industries. The firm offers consumers insights, where teams identify new opportunities and determine how they can be commercialized, as well as product and service innovation. For instance, the consultancy helped a grocery chain map how its customers moved around stores, which enabled the retailer to tweak its layouts to double revenue from breakfast cereals and increase snack purchases by 40%.

Yesway Adds 300+ C-Stores To Portfolio With Allsup’s Acquisition

Yesway has advanced its goal of operating a fleet of 500+ convenience stores through the acquisition of Allsup’s, a convenience chain with more than 300 locations in Texas, New Mexico and Oklahoma, for an undisclosed sum. Yesway plans to continue offering Allsup’s products and services, including the “world famous” Allsup’s Burrito. "Allsup's founders, Lonnie and Barbara Allsup’s, were true pioneers, innovators, and visionaries of convenience store retailing," said Thomas Nicholas Trkla, Chairman and CEO of Yesway in a statement. "They were the first to offer customers hot, cooked foods, self-serve gasoline sales and 24-hour service. We could not be more pleased to be joining forces with such a strong, beloved company and talented team of employees."

Kibo Buys Monetate, Expanding Personalization Capabilities

Kibo will acquire the testing and personalization optimization solution provider Monetate for an undisclosed sum. The purchase, which follows Kibo’s acquisition of Certona in February, is designed to extend the reach of Kibo’s end-to-end cloud commerce platform. The addition of Monetate will enable Kibo to offer A/B and multivariate testing, content personalization, audience building and targeting functionalities, delivered via a self-serve user interface designed for merchandisers and marketers. Monetate clients will gain access to Kibo Order Management and e-Commerce solutions along with Certona personalization recommendations and search solutions.

DICK’S Sells 8 Field & Stream Stores For $28 Million

DICK’S Sporting Goods has agreed to sell the inventory and assets of eight Field & Stream stores to Sportsman’s Warehouse Holdings for $28 million. The 95-store Sportsman’s Warehouse plans to sublease the Field & Stream locations, which are in New York, Pennsylvania, North Carolina and Michigan, from DICK’S. “Each of these stores operate in strong markets, with well-established customer bases,” said Jon Barker, CEO of Sportsman’s Warehouse in a statement. “We look forward to serving these communities with our continued strong commitment to provide outstanding gear and exceptional service to inspire outdoor memories.”
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