Authentic Brands Group (ABG) and the rolling shareholders of Guess?, Inc. completed a transaction on January 23, 2026 that takes the fashion retailer private. The deal gives ABG a 51% stake in Guess?’s intellectual property while the rolling shareholders retain 49%. The operating company remains wholly owned and managed by Guess?’s current leadership, and the company’s Swiss headquarters continues to serve as the global hub for design, creative, and distribution.
The transaction values Guess? at approximately $1.4 billion, including debt, and pays shareholders $16.75 in cash per share. The offer represents a premium of roughly 73% over the March 14, 2025 closing price, establishing a valuation floor for the brand and providing a clear exit price for investors.
Strategically, the deal positions ABG’s portfolio with Guess? as its second‑largest brand, adding $38 billion in global retail sales to ABG’s system‑wide total. ABG plans to leverage its brand‑building platform and partner network to expand Guess? into new categories and territories, reactivate its archives, and strengthen its presence in Europe.
Guess? cited several reasons for moving away from the public markets. The company highlighted compressed public valuations, reduced analyst coverage, and a regulatory burden that increased the cost of being a public entity. The private structure is intended to allow Guess? to focus on long‑term growth without the quarterly reporting pressure.
Financially, Guess? reported third‑quarter fiscal 2026 revenue of $791.4 million, up 7% year‑over‑year and 5% in constant currency, beating analyst estimates of $767.9 million. GAAP net profit rose to $25.6 million, reversing a loss from the prior year, while adjusted earnings per share reached $0.35 versus a consensus of $0.25. Adjusted operating margin contracted to 4.7% from 5.8% due to higher expenses and markdowns. Full‑year 2025 revenue increased 8% to $3.00 billion.
Segment performance showed strength in Americas Retail and Americas Wholesale, with same‑store sales improving in the retail channel despite softness. Europe also delivered solid results, and Guess? continued to invest in marketing and product launches, as noted by co‑founder Paul Marciano.
CEO Carlos Alberini praised the quarter’s performance, emphasizing the robust wholesale and European businesses and the positive customer response to new product introductions. He highlighted the company’s ability to maintain profitability while investing in growth initiatives.
Investors reacted positively to the premium offered, viewing the transaction as a correction of the brand’s undervaluation in the public market. The deal is expected to provide Guess? with the flexibility to pursue long‑term strategic initiatives without the constraints of public market expectations.
The completion of the take‑private transaction positions Guess? for focused growth and allows ABG to deepen its brand portfolio, creating a platform for future expansion and operational restructuring. The deal is a significant shift in ownership and control that will shape the company’s trajectory for years to come.
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