Reports Surface of Possible Playboy Sale
YNOT – Was it Marge Simpson’s nude pictorial that finally got Playboy some attention? The Associated Press is reporting that Playboy is in talks with Iconix Brand Group, Inc. about a possible buyout deal.Although neither side is talking, the rumor alone was enough to send Playboy’s stock price soaring, closing 43 percent up in just one day. That meant a gain of $1.21 per share.
According to the Associated Press report, the CEO of Iconix has been looking to buy new brands that it can then license to manufacturers.
“Iconix Brand Group owns a diversified portfolio of fashion and home brands that touch every segment of retail distribution from the luxury market to the mass market,” the company says on its website. “Iconix licenses its brands to leading retailers and manufacturers worldwide and specializes in marketing its portfolio of brands with innovative and creative advertising.”
Brands currently listed at Iconixbrand.com include Candie’s, OP, Starter, Cannon, Zoo York and London Fog.
“There are a couple of hurdles facing a possible Iconix bid,” wrote Michael Corkery for the Wall Street Journal. “The company would likely need to find a partner to run Playboy’s magazine, television and real estate assets. It could also be hard to convince the 83 year old Hefner, who owns 70% of the voting shares, to sell the empire he founded.”
The Associated Press, however, reports that Playboy has been looking for a buyer since Hugh Hefner’s daughter Christie Hefner resigned as CEO in June.