QUIKSILVER OWNER BOARDRIDERS BUYS BILLABONG
Global action sports and lifestyle company Boardriders, Inc., which owns and operates the Quiksilver, Roxy, and DC Shoes brands, has announced that it has signed a definitive agreement to acquire all of the shares of Billabong International Limited. Details of the transaction were not disclosed.
The combination of Boardriders and Billabong will create the world’s leading action sports company with sales to over 7,000 wholesale customers in more than 110 countries, owned e-commerce capabilities in 35 countries, and over 630 retail stores in 28 countries. The combined company will include some of the most coveted brands in the industry as Billabong, RVCA, Element, VonZipper, and Xcel are added to the Boardriders family of brands.
Under the ownership of funds managed by Oaktree Capital Management, L.P., Boardriders has dramatically improved its operational and financial performance since its turnaround began in February 2016. The company rationalized its distribution, right-sized its cost structure, rewired its product development platform and invested in a range of growth-enhancing brand, marketing, and e-commerce initiatives. The successful turnaround of the company and reconfiguration of the Boardriders platform has created the opportunity to bring the Billabong brands onto the same back-office operating platform to accelerate their growth as well.
Upon closing of the transaction, Dave Tanner, currently managing director at Oaktree and chief turnaround officer for Boardriders, will become the chief executive officer of Boardriders. Pierre Agnes, currently the chief executive officer of Boardriders, will become president of Boardriders, remain a Board member, and lead a substantial portion of the integration of the two companies.
“The combination of these two leading action sports companies, which include a broad range of iconic brands with a deep heritage in surf, snow, and skate, is very exciting for all of us who share a passion for outdoor action sports,” said Tanner. “We are committed to preserving the autonomy, creativity, and unique cultures of all the brands while we leverage our best-in-class operating platform to accelerate the growth of the brands globally. We are excited to become one family with the Billabong team, and look forward to working together arm-in-arm to achieve the promise that this combination offers.”
“Creating one integrated global platform will enable the combined company to enhance its investments in product innovation and quality, digital marketing, consumer engagement, and e-commerce, which ultimately will benefit our consumers and strengthen the company and industry,” added Agnes. “With a larger and stronger platform, we see many exciting opportunities for our employees, customers, suppliers, and athletes. I am excited and honored to pass the leadership baton to Dave and to continue to partner with him to drive the next phase in the evolution of Boardriders.”
The future of the current CEO of the Billabong Group, Neil Fiske, is still undetermined. “We have high regard for Neil and what he has accomplished over the years,” commented Matt Wilson, chairman of Boardriders and managing director and co-portfolio manager at Oaktree. “I personally have valued his keen strategic thinking and leadership. I very much hope that he will join us for the next leg of this journey and continue his contribution to these great brands.”
