Simon Property sold its interest in its Eddie Bauer licensing joint venture in exchange for additional equity ownership in Authentic Brands Group.
The sale was revealed on Simon Property’s fourth-quarter earnings call.
In June 2021, Authentic Brands Group and SPARC Group (SPARC), a joint venture between Authentic and Simon Property Group, completed the acquisition of Eddie Bauer, including its 300 stores and e-commerce business, from a unit of Golden Gate Capital.
On the call, David Simon, CEO of Simon Property, said, “Fourth quarter funds from operations were $1.27 billion or $3.40 per share. Included in the fourth quarter results was a net gain of $0.25 per share, principally from the sale of our interest in the Eddie Bauer license JV in exchange for additional equity ownership in Authentic Brands Group, Authentic. We now own 12 percent of Authentic valued at approximately $1.5 billion.”
SPARC also includes several other brands co-owned by Authentic, including Reebok, Nautica, Brooks Brothers, Nautica, Aéropostale, Forever 21, and Lucky Brand.
