Simon Property Group has sold its remaining stake in brand management firm Authentic Brands Group.
The largest mall owner in the United States sold its remaining nearly 10% stake in Authentic Brands for $1.2 billion, reported Women’s Wear Daily. The sale comes after Simon, in February, reduced its stake in the company from just under 12% to nearly 10%.
“We generated substantial value from the ABG investment and a 7-times multiple on our net invested capital during our short ownership period,” David Simon, who is chairman, president and CEO, Simon Property Group, told analysts on a conference call on May 6.
The companies buying Simon’s shares in Authentic Brands were Leonard Green & Partners, General Atlantic, HPS Partners, Jasper Ridge Partners and Singapore’s sovereign wealth fund Temasek Holdings, the report said.
Simon and Authentic Brands remain in business together as partners in the SPARC joint venture. (In October, Simon reduced its stake in the venture from 50% to 33%.)
Authentic’s extensive brand portfolio includes Reebok Brooks Brothers, Barneys New York, Judith Leiber, Nautica, Juicy Couture, Vince Camuto, Lucky Brand, Aéropostale, Forever 21, Nine West, Rockport, Eddie Bauer, Quiksilver and more. Together, the brands generate retail sales of $29 billion annually.