Roots shareholders will receive $4.10 per common share in cash
Roots, the iconic Canadian heritage outdoor and lifestyle brand, will go private and be acquired by American company Marquee Brands, Roots Corp. announced on Thursday.
Create an account or sign in to continue with your reading experience.
Create an account or sign in to continue with your reading experience.
Marquee Brands, a brand management company that operates 24 brands including Roberto Cavalli, BCBGMAXAZRIA, Martha Stewart, Laura Ashley and more, will acquire Roots through operating partner JM&A Design and Development Inc., led by renowned Canadian retail experts Joe Mimran and Frank Rocchetti.
The company said the transaction is “designed to preserve all that makes Roots uniquely Canadian, while bringing the brand to more consumers around the world.”
Get the latest headlines, breaking news and columns.
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
A welcome email is on its way. If you don't see it, please check your junk folder.
The next issue of Top Stories will soon be in your inbox.
We encountered an issue signing you up. Please try again
Interested in more newsletters? Browse here.
In an interview, Roots chief executive Meghan Roach said the deal is “a very Canadian transaction, and Canadians should, if anything, be able to get even more Canadian exposure” with someone like Mimran at the helm of the deal.
“The way people should think about this is that it’s about taking a great Canadian brand to a bigger platform and a bigger stage,” Roots chief executive Meghan Roach told the Financial Post on Friday. “So, if I was a Canadian, I’d be very excited about that because I think that Canadian brands really resonate worldwide, and sometimes it’s great to have help to be able to get them there. And I think that’s what we’re looking at today.”
Roots shareholders will receive $4.10 per common share in cash, representing a 36 per cent premium to the closing price as of March 2, the last trading day prior to the announcement of the company’s strategic review process by the company’s board of directors.
