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.

Playbook

COMMON

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

COMMON

Adding significant debt to acquired company balance sheets, often to fund dividends to PE owners.

COMMON

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

Current and former holdings

Barneys New York

Forever 21

Sports Illustrated

Case Studies

Barneys New York experienced difficulties under PE ownership.

Forever 21 achieved a successful outcome under PE ownership.