Marquee Brands LLC, a global brand owner, marketing and media company, has emerged as the successful bidder to acquire the intellectual property, e-commerce business and other assets of Destination Maternity Corp., including the trademarks Motherhood Maternity, A Pea In the Pod and Destination Maternity.
As reported, Marquee made a $50 million stalking horse bid Nov. 30 for the retailer. Marquee Brands is backed by Neuberger Berman, an employee-owned investment manager.
Through this acquisition, Marquee Brands will diversify its women’s fashion division and add scale to its directly managed e-commerce platform. Marquee Brands operates across several areas: Women’s fashion, men’s fashion, active and outdoor, and home and food divisions.
Destination Maternity’s portfolio of brands commands the largest share of the U.S. maternity market.
“Motherhood Maternity and A Pea In The Pod have been embraced by women for decades because of their commitment to innovation and focus on customer needs. We will continue to build on the brands’ legacy in a business model focused on e-commerce, select wholesale partnerships and strategic marketing relationships,” said David Zolot, principal of Neuberger Berman. “This transaction is representative of Marquee’s ability to acquire market-leading brands that have become challenged in the current retail environment and evolve the business model to create value for our investors.”
Marquee Brands plans to evaluate all aspects of Destination Maternity’s current business, including its network of retail stores, but intends to transform the business model to better compete in the digital age.
The sale is subject to final approval by the United States Bankruptcy Court for the district of Delaware at a hearing scheduled on Dec. 12 and the customary closing conditions set forth in the purchase agreement. The transaction is expected to close by Dec. 20.