Collective Brands Inc., which owns footwear brands such as Sperry Top-Sider and Keds as well as the retailer Payless ShoeSource, will be split in two by multiple buyers in a purchase valued at $2 billion, including debt.
Wolverine Worldwide, Blum Capital and Golden Gate Capital formed an acquisition company to buy Collective for $21.75 a share. The deal was unanimously approved by Collective's board and is expected to close by early in the fourth quarter.
The price represents a 104% premium on Collective's 30-day average stock price before Aug. 24, when the company first announced that it was looking into a strategic and financial shift for its operations.
Facing a tough market and poor earnings, Collective last year closed 352 Payless and Stride Rite stores. In February, the company said it suffered a net loss of $154.1 million for the full fiscal year, compared with a $122.6-million profit during the previous fiscal year.