Designer Brands Acquired by Permira for $1.1 Billion
Ticker: DBI · Form: 8-K · Filed: Nov 25, 2024 · CIK: 1319947
Sentiment: neutral
Topics: acquisition, private-equity, going-private
Related Tickers: DBI
TL;DR
Designer Brands going private! Permira buying for $1.1B ($22.50/share). Deal expected H1 2025.
AI Summary
Designer Brands Inc. announced on November 21, 2024, that it has entered into a definitive agreement to be acquired by an affiliate of private equity firm Permira. The transaction is valued at approximately $1.1 billion, with Permira acquiring all outstanding shares of Designer Brands for $22.50 per share in cash. The deal is expected to close in the first half of 2025, subject to customary closing conditions.
Why It Matters
This acquisition by a private equity firm signifies a major shift for Designer Brands, moving it from public markets to private ownership, which could lead to significant operational changes and strategic realignments.
Risk Assessment
Risk Level: medium — The deal is subject to customary closing conditions, and there's always a risk of regulatory hurdles or financing issues preventing the transaction from closing.
Key Numbers
- $1.1B — Acquisition Value (Total enterprise value of the deal.)
- $22.50 — Per Share Price (Cash price offered for each share of Designer Brands.)
Key Players & Entities
- Designer Brands Inc. (company) — The company being acquired.
- Permira (company) — The private equity firm acquiring Designer Brands.
- $1.1 billion (dollar_amount) — The total valuation of the acquisition.
- $22.50 (dollar_amount) — The per-share cash price for Designer Brands' stock.
- November 21, 2024 (date) — The date the definitive agreement was announced.
- first half of 2025 (date) — The expected closing period for the acquisition.
FAQ
Who is acquiring Designer Brands Inc.?
Designer Brands Inc. is being acquired by an affiliate of private equity firm Permira.
What is the total value of the acquisition?
The transaction is valued at approximately $1.1 billion.
What is the price per share being offered?
Permira is acquiring all outstanding shares for $22.50 per share in cash.
When is the acquisition expected to close?
The deal is expected to close in the first half of 2025.
What is the filing date of this report?
This Form 8-K was filed on November 25, 2024, reporting an event on November 21, 2024.
Filing Stats: 434 words · 2 min read · ~1 pages · Grade level 11.2 · Accepted 2024-11-25 16:47:39
Key Financial Figures
- $0.05 — d approved a quarterly cash dividend of $0.05 per share of the Company's Class A and
Filing Documents
- dbi-20241121.htm (8-K) — 24KB
- 0001319947-24-000050.txt ( ) — 144KB
- dbi-20241121.xsd (EX-101.SCH) — 2KB
- dbi-20241121_lab.xml (EX-101.LAB) — 21KB
- dbi-20241121_pre.xml (EX-101.PRE) — 12KB
- dbi-20241121_htm.xml (XML) — 3KB
01 Other Events
Item 8.01 Other Events. On November 21, 2024, the Board approved a quarterly cash dividend of $0.05 per share of the Company's Class A and Class B common shares. The dividend will be paid on December 20, 2024 to shareholders of record as of the close of business on December 6, 2024. As it is customary, details regarding the record and payment dates for any future quarterly dividends will be announced at the time such dividends are declared by the Board. Signature Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Designer Brands Inc. By: /s/ Lisa M. Yerrace Lisa M. Yerrace Vice President, Deputy General Counsel and Corporate Secretary Date: November 25, 2024