Skechers Analysts See Easy Path To $9B Buyout From 3G Capital

Investment firm Stifel said the deal "represents a pathway to value realization for similarly tariff-impacted businesses with solid franchises and attractive valuation."

Skechers (SKX) on Monday agreed to be acquired by 3G Capital for $9.42 billion in the footwear industry's biggest buyout to date.

Following the news, several brokerages expectedly adjusted their ratings on the company's shares to 'hold'. The shoe brand's shares jumped 24% to end at $61.39, just below the offer price of $63 per share.

According to The Fly, Barclays said it saw no antitrust risk that would prevent the transaction from closing.

Stifel said given the unanimous approval by the board and insider control of the vote, there is "little capacity for altered terms of the deal," adding that appetite from private investors "represents a pathway to value realization for similarly tariff-impacted businesses with solid franchises and attractive valuation."

Evercore ISI said the deal amounts to 3G Capital "taking a bet on tariffs deal getting done and this sector operating profitably long-term," though "perhaps implying that the next few quarters will be best operated away from the eye of the public markets."

On Stocktwits, retail sentiment rose to 'bullish' from 'neutral,' and message volume to 'extremely high.'

Following the deal's completion, Skechers will become a privately held company, continuing under the leadership of its current management team, headed by Chairman and CEO Robert Greenberg.

As of their close on Friday, Skechers shares were down about 13% year to date.

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