NEW YORK, March 3, 2014 /PRNewswire/ -- Iconix Brand Group, Inc. (Nasdaq: ICON) ("Iconix" or the "Company"), today announced that it has acquired the remaining 50% of Iconix Latin America from its joint venture partner, New Brands Group, S.A., for $42 million.
Neil Cole, Chairman and CEO of Iconix Brand Group, Inc. commented, "We are excited about our international growth and the acquisition of the remaining interest of Iconix Latin America. Through organic growth and the recent acquisition of Umbro, we believe our business has reached critical mass in the Latin American marketplace. Going forward we will be able to focus on the unique business environment of each country in the region as we continue to grow the local presence of our portfolio of brands. International expansion is a key part of our overall organic growth strategy and we look forward to continuing to build our global footprint."
Since the formation of Iconix Latin America in December 2008, royalty revenue from the Company's portfolio of brands has more than quadrupled in the region with strong growth in Brazil, Mexico, Chile and across Central America. Between Iconix Latin America, the Company's recent acquisitions of Umbro, Buffalo and Lee Cooper, and its global Peanuts platform, the Company's portfolio of brands generates approximately $22 million of royalty revenue in Latin America and now has sufficient scale and market presence to move from the current centralized model to a multi-market model and to better capitalize on the opportunities in each local market.
The Company will discuss the financial details of this transaction on its first quarter 2014 earnings conference call.