Private Equity Firm

Authentic Brands Group

AUMUnknown

Founded2010

HQNew York, NY

Brand development and licensing company backed by private equity.

Track Record

Performance

Total Acquisitions3

Bankruptcy Rate33%

Avg Hold Period0.0yrs

High-Risk Track Record

33% of companies owned by this firm have filed for bankruptcy. This is significantly above the industry average.

Known Tactics

Playbook

Cost Cutting

COMMON

Aggressive reduction in labor costs, supplier payments, and operational expenses.

Brand Licensing Over Direct Operations

COMMON

brand licensing over direct operations is a common PE tactic.

Asset Stripping

COMMON

Selling off valuable assets like real estate while leasing them back at high rates.

Reduced Customer Service Investment

COMMON

reduced customer service investment is a common PE tactic.

Quality Reduction In Materials/Production

COMMON

quality reduction in materials/production is a common PE tactic.

Franchisee Burden Shifting

COMMON

franchisee burden shifting is a common PE tactic.

Portfolio Companies

Current and former holdings

Barneys New York

Forever 21

Sports Illustrated

Notable Outcomes

Case Studies

Failures

Barneys New York

N/A

Barneys New York experienced difficulties under PE ownership.

Successes

Forever 21

N/A

Forever 21 achieved a successful outcome under PE ownership.