Home / Knowledge / News / Apparel/Garments / Steve Madden adds Betsey Johnson brand
Steve Madden adds Betsey Johnson brand
Oct '10
Steve Madden, a leading designer and marketer of fashion footwear and accessories, announced that it has entered into a Restructuring Agreement with Betsey Johnson LLC to effect an out-of-court restructuring of the outstanding debt of BJ LLC purchased by the Company in August 2010 for $27.6 million. Pursuant to the Restructuring Agreement, in consideration of the elimination of amounts owed under the outstanding debt, the Company acquired the trademarks and intellectual property of BJ LLC, including Betsey Johnson and other related brand names and a 10% equity interest in BJ LLC.

The Company also made a new secured term loan to BJ LLC in the principal amount of $3 million, which bears interest at the rate of 8% per annum (payable at maturity) and matures on December 31, 2015. In addition, Castanea Partners, who has partnered with Betsey Johnson and BJ LLC for the past three years, has agreed to support BJ LLC's business with a further equity investment in BJ LLC.

The Company and BJ LLC also entered into two new license agreements under which the Company has granted BJ LLC the exclusive license to operate Betsey Johnson retail stores in the United States, Canada and London, England and manufacture and sell specified women's apparel under the Betsey Johnson and Betsey Johnson Collection brand names.

The transaction is expected to be accretive to the Company's earnings, contributing approximately $0.10 in diluted EPS in 2011.

Other details of the transaction are included in the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission.

Edward Rosenfeld, Chairman and Chief Executive Officer, commented, "We are thrilled to add the Betsey Johnson brand to our growing portfolio of brands at Steve Madden. Betsey Johnson is an iconic brand with a rabid consumer following, and we believe it offers meaningful growth opportunity for our business. We are also pleased to have entered into a relationship with Betsey Johnson LLC in support of the continuation and growth of its apparel and retail businesses and look forward to working closely with Castanea in support of Betsey Johnson LLC going forward."

Steve Madden, Founder and Creative and Design Chief, added, "Betsey is my hero - one of the great American designers. I have always admired how everything she does is instantly recognizable - it looks, feels, radiates Betsey. We want to do whatever we can to continue her creative vision and make the Betsey Johnson brand bigger and better than ever."

Steve Madden Ltd

Must ReadView All

Textiles | On 22nd Jun 2017

Zund unveils cradle feeder roll-feed system for fabrics

Zund Systemtechnik AG, Switzerland’s textile machinery firm that...

Textiles | On 22nd Jun 2017

Hpfabrics opening production facility in Forsyth County

Hpfabrics, manufacturer of raw fabrics, is opening a new production...

Courtesy: Napapijri

Apparel/Garments | On 22nd Jun 2017

Napapijri's Superlight Parka is free of fur and down

Napapijri has introduced the new Superlight Parka, a new lightweight...

Interviews View All

Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Sonia Agarwal

‘The terms eco-friendly and organic are common but everyone perceives them ...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
June 2017

June 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search