Roots agrees to go-private deal with U.S. company Marquee Brands

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomeRetail & MarketingRoots agrees to go-private deal with U.S. company Marquee BrandsRoots shareholders will receive $4.10 per common share in cashThe Roots 'Cabin' store at Yorkdale Shopping Centre is seen in Toronto on August 23, 2017. Photo by Laura Pedersen/National PostRoots, the iconic Canadian heritage outdoor and lifestyle brand, will go private and be acquired by American company Marquee Brands, Roots Corp. announced on Thursday.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountMarquee Brands, a brand management company that operates 24 brands incuding Roberto Cavalli, BCBGMAXAZRIA, Martha Stewart, Laura Ashley and more, will acquire Roots through operating partner JM&A Design and Development Inc., led by renowned Canadian retail experts Joe Mimran and Frank Rocchetti.The company said the transaction is “designed to preserve all that makes Roots uniquely Canadian, while bringing the brand to more consumers around the world.”Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. 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Please try again“Taking on Roots is an incredible honour, and our strategic partnership with JM&A ensures the brand remains anchored in Canadian culture,” said Heath Golden, chief executive of Marquee Brands. “With that foundation in place, we see significant global opportunity to extend Roots into new categories, markets and consumer segments, while remaining true to all that makes the brand distinctive.”Roots shareholders will receive $4.10 per common share in cash, representing a 36 per cent premium to the closing price as of March 2, the last trading day prior to the announcement of the company’s strategic review process by the company’s board of directors.Roots said JM&A will serve as core operating partner of Roots and oversee the design, development, manufacturing and distribution of men’s and women’s lifestyle apparel and assume responsibility for retail and e-commerce operations across Canada and the United States, including the Roots fleet of more than 100 North American stores.Meanwhile, Marquee Brands will “galvanize the brand’s global growth,” focusing on global brand stewardship and expansion, as well as new category development, it said.The company said Roots will remain in Canada, “guided by Canadian operating leadership who understand the Roots customer as well as the brand’s heritage and its enduring place in Canadian culture.”“Few brands are as deeply connected to Canada’s identity as Roots,” said JM&A president and creative director Mimran, who is best known for founding the Club Monaco and Joe Fresh brands and previously starring in television series Dragons’ Den.Mimran said the opportunity is to build from Roots’ strength, “while remaining true to the character that has made Roots so distinctive.”“Frank and I look forward to leading the business from Canada in partnership with Marquee Brands and positioning the brand for its next phase of growth,” he added.The company said private ownership provides the optimal structure for Roots to pursue long-cycle investment decisions in its next chapter of growth, with its headquarters remaining in Toronto.This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.Established in 1973, Roots started from a small cabin in northern Canada and has become a global brand operating over 100 locations in Canada, two stores in the United States, and roots.com. The brand is best known for its apparel, leather goods, footwear and accessories.“This transaction is a strong endorsement of the Roots brand and the momentum behind our business,” said Roots chief exectuive Meghan Roach. “Roots remains proudly Canadian, and we are excited to build on our heritage and pursue the significant growth opportunities ahead.”The company expects to hold a special meeting of shareholders in October, with closing targeted for the fourth quarter of 2026, subject to regulatory approvals.Upon completion, its shares will be delisted from the Toronto Stock Exchange and the company will cease to be a reporting issuer in each of the provinces and territories of Canada.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.