NEW YORK, Oct. 27, 2011 /PRNewswire/ -- Iconix Brand Group, Inc. (NASDAQ:ICON - News) ("Iconix" the "Company") announced today that it has signed a definitive agreement to acquire The Sharper Image® brand and intellectual property assets from Sharper Image Acquisition, LLC for approximately $65.6 million in cash. This acquisition will mark the Company's first entry into the rising consumer electronics sector.
Sharper Image is a respected brand in the consumer electronics industry with over 85% brand recognition, and is best known for its innovative products. This will be a seamless transition for the Company, as Sharper Image operates under a licensing business model.
The Company estimates that the Sharper Image brand will generate approximately $12-13 million in annual royalty revenue through a variety of categories including audio and video electronics, travel gear, personal home products, kitchen and bath accessories, massage products, air purification products and giftables.
Sharper Image products are sold nationwide at better department and specialty stores and direct to consumer through the Sharper Image catalog and e-commerce website, www.sharperimage.com.
"This is an exciting acquisition for Iconix," commented, Neil Cole, Chairman and CEO, Iconix Brand Group. "With the addition of the Sharper Image brand, we continue to demonstrate the diversification of our business model and strength of our Company. We always believed that the Iconix platform could be leveraged across numerous industries and this acquisition reinforces that message."
Iconix Brand Group, Inc. 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), DANSKIN (R) ROCA WEAR (R), CANNON (R), ROYAL VELVET (R), FIELDCREST (R), CHARISMA (R), STARTER (R), ZOO YORK (R) and WAVERLY (R). In addition, Iconix owns an interest in the ARTFUL DODGER (R), ED HARDY (R), ECKO (R), MARC ECKO (R), MATERIAL GIRL(TM) and PEANUTS (R) brands. 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 worldwide. Through its in-house business development, merchandising, advertising and public relations departments Iconix manages its brands to drive greater consumer awareness and equity.