Activewear brand Outdoor Voices, the direct-to-consumer darling that closed all of its 16 retail stores in March, has been acquired by private equity firm Consortium Brand Partners, in response to a press release.
Financial details weren’t disclosed, and Outdoor Voices will proceed to sell exclusively online. There are not any immediate plans to reopen retail stores, but CBP is optimistic about brick-and-mortar retail.
“When it comes to community-based brands and companies, having some sort of gathering place where people can meet, touch and feel the product and interact with store associates is an important part of the storytelling,” said CBP Executive Director Cory Baker. Assets.
This is CBP’s second acquisition after the corporate acquired a 70 percent stake in actress Reese Witherspoon’s fashion brand Draper James in September.
CBP is led by Baker, Michael DeVirgilio and Jonathan Greller, veterans of the holding company Marquee Brands, whose portfolio corporations include BCBG Max Azria, Ben Sherman and Martha Stewart.
The deal also ends a months-long saga during which Outdoor Voices – once valued at $110 million – closed all of its brick-and-mortar stores, laid off dozens of employees and switched its sales exclusively to the Internet. Procurement journal reported in March that the brand had plans to file for bankruptcy.
CBP was attracted by Outdoor Voices’ strong community and unique positioning in an industry that’s heavily focused on competitive athletes, Baker said in an interview Friday.
“This has always been a brand that spoke differently about getting outdoors, enjoying the sun and enjoying community,” he said. “And that really spoke to us as something relevant, authentic and trend-resistant.”
Rise and fall of OV
Founded in 2013 by millennial entrepreneur Ty Haney, Outdoor Voices spent the following few years riding the wave of direct-to-consumer marketing and constructing a cult following—the corporate was valued at $110 million in 2018. In 2020, Haney was pushed out after clashes with management, followed by a series of exits. The value of the brand fell to $40 million this 12 months.
But the brand retained its strong fan base that appreciated its daring aesthetic and community-focused approach to fitness. In June 2020, entrepreneur Ashley Merrill joined Outdoor Voices as board chair after her enterprise capital firm NaHCO3 made an undisclosed investment in the corporate. Merrill invested more in late 2023 and have become the corporate’s de facto CEO. after To puck.
In March, Outdoor Voices announced the closure of all 16 retail stores with only five days’ notice. A former retail worker said Assets In March, they said they were “blindsided” by the news, while one other called it “a slap in the face.”
The company also laid off an estimated 80% of its workforce, including your complete human resources, brand and design teams, three former employees said AssetsOutdoor Voices and Merrill disabled commenting on their Instagram accounts following the closure, while fans and former employees lamented the shortage of transparency on Reddit.
“This was the classic story of a company that had too many expenses and too much debt,” Baker said Assets“And at some point, even with good sales, it’s difficult to keep up if you have to service debts and sign bad leasing contracts.”
‘A brand new day’
The company has rehired some former employees who were furloughed in March, and further discussions are ongoing. Ashley Merrill isn’t any longer with Outdoor Voices, Baker confirmed, while Katie Siano will proceed in her role as president of the corporate.
Although CBP has not disclosed how much money it’s investing in Outdoor Voices, Baker said the corporate is now “financially sounder than it has ever been.” With a growth strategy and expansion plan in place, Outdoor Voices is concentrated on its product, community engagement and searching to return to its roots.
He predicted that in three years, OV can be greater and healthier, offering more product categories which can be “relevant and natural.”
“I think we need to talk to the fans,” Baker said. “It’s a new day, a bright day, and it’s not the same company that had to make difficult decisions.”
