Authentic adds another sports brand to its mix

Authentic has agreed to acquire Quiksilver parent Boardriders for an undisclosed sum, adding a suite of action sports brand names to a deep portfolio in the space.

Why it matters: Jamie Salter, CEO of Authentic, has a long history with action sports brands, dating to the 1990s when he co-founded Ride snowboards.

Details: Authentic plans to buy the company from funds managed by distressed debt investor Oaktree Capital Management.

Flashback: Boardriders is the rebranded Quiksilver, which emerged from Chapter 11 bankruptcy in 2016.

• Oaktree, which controls Boardriders, bought out the company from U.S. bankruptcy. Two years later, it acquired competitor Billabong.

Between the lines: In February, Axios reported Authentic was lining up a $600 million delayed-draw term loan to support the proposed acquisition of the action sports brand parent.

• This was in addition to an upsized $240 million revolving credit facility and a $1.525 billion term loan, all due in 2028.

Zoom in: The acquisition will also include Surf Dive 'n Ski, an Australian lifestyle retailer with more than 80 locations and an e-commerce platform.

• Boardriders will join Volcom, Spyder, Reebok and Airwalk in Authentic’s portfolio.
• The action sports and lifestyle company’s brands include Roxy, DC Shoes, RVCA, Element, VonZipper and Honolua.
• Boardriders generates around $2.9 billion in sales annually, Authentic says.