From Yahoo Finance: 2025-05-05 09:20:00

Skechers is being acquired for over $9 billion by 3G Capital, going private. The deal brings uncertainty over Trump’s tariffs on foreign goods, particularly from China where many athletic shoe makers produce. Skechers shares surged 25% to $61.56 after the announcement, representing a premium of 30% per share.

The company did not mention the potential impact of Trump’s tariffs on its business going forward. Skechers generates two-thirds of its revenue from sales outside the U.S., with China accounting for 15% of its revenue. Executives aim to reduce products from high-cost locations, including those affected by tariffs.

As Trump raises tariffs on Chinese imports, Skechers, like other companies, faces challenges. Executives have strategies to mitigate tariffs, such as cost-sharing with vendors and sourcing optimization. The deal with 3G Capital is expected to close in the third quarter, with Skechers maintaining its headquarters in Manhattan Beach, California.

Skechers reported a record $9 billion in revenue in 2024, with net earnings of $640 million. The company has about 5,300 retail stores worldwide, the majority being company-owned. The deal with 3G Capital will see Skechers led by Chairman and CEO Robert Greenberg and his team.

Read more: In a trade-war whirlwind, shoemaker Skechers is sold for $9 billion to become a private company