Customers shop during a special 59FIFTY Day event at New Era Cap's flagship store to commemorate the 70th anniversary of the company's signature 59FIFTY ballcap, Thursday, May 9, 2024. New Era Cap is acquiring a sport and lifestyle company from outside Boston, Mass., that will help to expand the Buffalo-based company’s reach.
New Era announced Thursday that it is purchasing global fashion brand ’47 with the goal of expanding and diversifying its product portfolio of apparel and accessories. The coming together of the two companies is expected to generate approximately $2 billion in annual revenue. The transaction is expected to close by the end of 2024, subject to regulatory approvals.
Financial terms were not disclosed, but ACON Investments, the private equity firm that took an ownership stake in New Era in 2021, will hold a "significant" stake in the combined company, the firms said. New Era said it had lined up financing for the deal through a consortium of seven banks. The two companies will continue to operate on their own after the purchase is finalized.
The move enhances licensing partnerships already in place with many of the largest global sports leagues, including the likes of Major League Baseball, National Basketball Association, National Football League and National Hockey League, in addition to over 900 collegiate programs and European soccer clubs. “Through this transaction, we will offer a breadth of products across both brands and enhance how we serve o.
