G-III Apparel Group Signs Definitive Agreement with WHP Global for Marc Jacobs Brand

Rhea-AI Summary

G-III Apparel Group (NasdaqGS:GIII) signed a definitive agreement with WHP Global to create a 50/50 joint venture that will own the Marc Jacobs brand intellectual property.

G-III will invest about $500 million, acquire the global operating business, license it from the JV, and expects near-term dilution followed by accretion after year one.

Positive

• Adds globally recognized Marc Jacobs brand to G-III’s portfolio
• Forms 50/50 JV with WHP Global to own Marc Jacobs IP
• G-III to acquire and manage global Marc Jacobs operating business
• Approximately $500 million investment funded with cash and revolving credit facility
• Transaction expected to become accretive after first 12 months post-closing

Negative

• Transaction expected to be dilutive during first 12 months after closing
• Approximately $500 million investment increases use of cash and debt
• Closing subject to regulatory approval and other customary conditions, adding execution risk

News Market Reaction – GIII

-3.43%

-3.43% Session close to close

In the May 15 session, GIII declined 3.43%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement outlines a major portfolio move as G-III forms a 50/50 joint venture with WHP Glob...

Analysis

This announcement outlines a major portfolio move as G-III forms a 50/50 joint venture with WHP Global and commits about $500 million to the Marc Jacobs operating business. The deal is expected to be dilutive for the first 12 months after closing, targeted for fiscal third quarter 2027, but management highlights long-term growth and brand diversification. Investors may track closing conditions, integration execution, and future earnings updates to gauge how this asset reshapes the company’s trajectory.

Key Figures

JV ownership split: 50/50 Investment amount: $500 million Near-term EPS impact: Dilutive first 12 months +2 more

5 metrics

JV ownership split 50/50 Joint venture ownership of Marc Jacobs intellectual property

Investment amount $500 million G-III investment funded with cash on hand and revolver borrowings

Near-term EPS impact Dilutive first 12 months Expected earnings impact after closing

Closing timeline Fiscal Q3 2027 Expected closing period, subject to customary conditions

Company founding 1984 Founding year of the Marc Jacobs brand

Historical Context

5 past events · Latest: Mar 13 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Mar 13	Dividend declaration	Positive	+0.7%	Announced quarterly cash dividend of $0.10 per share for stockholders.
Mar 12	Earnings & outlook	Negative	-11.4%	Reported lower net sales and income with fiscal 2027 outlook update.
Mar 05	Earnings date set	Neutral	-1.7%	Announced timing and access details for fiscal 2026 results call.
Feb 12	Brand campaign launch	Neutral	-0.3%	Donna Karan Spring 2026 campaign and collection availability announced.
Feb 10	Brand campaign launch	Neutral	+0.6%	DKNY Spring 2026 campaign featuring Hailey Bieber and global launch.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent news has often led to aligned price moves: earnings news saw a double‑digit decline, while dividend and brand campaign updates prompted modest gains or small moves.

Recent Company History

Over the last few months, G-III reported fiscal 2026 results with net sales of $2.96 billion and GAAP net income of $67.4 million, which coincided with a -11.43% move, signaling sensitivity to fundamentals and outlook. A new quarterly dividend of $0.10 per share and multiple brand campaigns (Donna Karan and DKNY) produced modest or limited price changes. Against this backdrop, today’s Marc Jacobs joint venture adds another brand-focused strategic step following these portfolio and capital-return moves.

Key Terms

joint venture, intellectual property, licensing operations, licensing agreement, +4 more

8 terms

joint venture financial

"Forms 50/50 Strategic Joint Venture for Marc Jacobs Brand"

A joint venture is when two or more companies team up to work on a specific project or business idea, sharing both the risks and the rewards. It’s like friends starting a lemonade stand together—each contributes resources and they split the profits, making it easier to succeed than going alone.

intellectual property technical

"to jointly own the Marc Jacobs brand’s intellectual property through a newly formed joint venture"

Intellectual property are legal rights that protect creations of the mind—such as inventions, brand names, designs, software, or secret formulas—giving the owner control over who can use, copy or sell them. For investors, IP is like owning a blueprint or recipe: it can generate steady income through exclusive sales or licensing, boost a company’s competitive edge and valuation, and also create costs or risks if rights must be defended or challenged in court.

licensing operations financial

"while WHP Global will manage the licensing operations"

Licensing operations are the activities a company uses to give or get legal permission to use intellectual property, products, or technology—like renting out a patent or buying the right to sell a brand. For investors, these operations matter because they create recurring revenue, let a company expand without big capital investment, and carry legal and royalty risks; think of it as a business earning rent from its ideas rather than selling physical goods.

licensing agreement financial

"and enter into a long-term licensing agreement"

A licensing agreement is a contract where one party gives another the right to use a product, technology, brand, patent or other protected asset in exchange for fees or royalties. For investors, it matters because such deals can provide steady revenue without the licensor bearing all the costs of production or distribution, change a company’s growth prospects, and alter risk depending on whether the rights are exclusive or limited — like renting out a tool instead of selling it outright.

revolving credit facility financial

"using cash on hand and borrowings under its revolving credit facility"

A revolving credit facility is a type of loan that a business can borrow from whenever it needs money, up to a set limit. It’s like having a credit card for companies—allowing them to borrow, pay back, and borrow again as needed, providing flexibility for managing cash flow or funding short-term expenses.

dilutive financial

"The transaction is expected to be dilutive during the first 12 months after closing"

Dilutive describes an action that reduces each existing shareholder’s percentage ownership or the amount of profit attributed to each share, usually because the company issues more shares or converts securities into shares. Think of a pizza cut into more slices: each person’s piece gets smaller; investors care because dilution can lower voting power, reduce per‑share profits and pressure the stock price, altering the value of their holdings.

regulatory approval regulatory

"Closing is subject to customary conditions, including regulatory approval"

Regulatory approval is the official permission given by government agencies or authorities that allows a product, service, or business activity to be legally operated or sold. It is important to investors because receiving approval often indicates that a product has been reviewed for safety and compliance, which can influence its success and the company’s prospects in the market. Without this approval, launching or selling certain products may be restricted or prohibited.

debt financing financial

"Morgan Stanley Senior Funding, Inc. provided committed debt financing to support the acquisition"

Debt financing is the process of raising money by borrowing it from lenders, which must be paid back over time with interest. It is like taking a loan to fund a project or investment, allowing a business or individual to access funds immediately while agreeing to repay the amount borrowed later. For investors, understanding debt financing helps assess how a company funds its operations and manages financial risk.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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• Forms 50/50 Strategic Joint Venture for Marc Jacobs Brand
• Partnership Combines G-III’s Proven Operating and Merchandising Capabilities with WHP Global’s Leading Brand Management Platform
• Adds Globally Recognized, Iconic Brand to G-III’s Portfolio, Strengthening its Growth Strategy
  
  

NEW YORK, May 14, 2026 (GLOBE NEWSWIRE) -- G-III Apparel Group, Ltd. (NasdaqGS: GIII) (“G-III” or the “Company”) today announced that it has entered into a definitive agreement with WHP Global to jointly own the Marc Jacobs brand’s intellectual property through a newly formed joint venture (“JV”). G-III will acquire and manage the global Marc Jacobs operating business, while WHP Global will manage the licensing operations.

Founded in 1984, Marc Jacobs is a culture-defining brand recognized for its distinctive blend of high fashion and contemporary design. Built on the creative vision of its founder, the brand has established a strong international presence through four decades of consistent cultural influence and a distinct creative point of view. Today, Marc Jacobs operates a global retail footprint with company-operated stores worldwide and distributes products through its e-commerce platform as well as a diverse network of wholesale partners.

Morris Goldfarb, G-III’s Chairman and Chief Executive Officer, said, “Marc Jacobs is one of the most influential names in fashion. This transaction underscores our long-standing commitment to building a diversified portfolio of iconic, globally relevant brands. LVMH has been an exceptional steward of the brand, and we look forward to working with the Marc Jacobs team to build on that strong foundation. With our portfolio of premium brands and backed by our powerful global platform, this opportunity accelerates our transformation efforts and positions us to drive long-term shareholder value.”

Transaction Details
G-III and WHP Global will form a 50/50 joint venture that will retain ownership of Marc Jacobs’ intellectual property that will be formed contemporaneously with WHP Global’s closing of its acquisition of Marc Jacobs. G-III will then acquire the Marc Jacobs operating business from the JV and enter into a long-term licensing agreement.

G-III will fund its approximately $500 million investment using cash on hand and borrowings under its revolving credit facility. The transaction is expected to be dilutive during the first 12 months after closing, with accretion expected thereafter. Closing is subject to customary conditions, including regulatory approval, and is expected to occur in G-III’s fiscal third quarter of 2027.

Advisors
UBS serves as financial advisor to G-III, and Paul, Weiss, Rifkind, Wharton & Garrison serves as legal advisor.

Morgan Stanley & Co. LLC serves as financial advisor to WHP Global and Gibson Dunn serves as legal advisor. Morgan Stanley Senior Funding, Inc. provided committed debt financing to support the acquisition.

About G-III Apparel Group, Ltd.
G-III Apparel Group, Ltd. is a global fashion leader with expertise in design, sourcing, distribution, and marketing. The Company owns and licenses a portfolio of more than 30 preeminent brands, each differentiated by unique brand propositions, product categories, and consumer touchpoints. G-III owns ten iconic brands, including DKNY, Donna Karan, Karl Lagerfeld, Sonia Rykiel, and Vilebrequin, and licenses over 20 of the most sought-after names in global fashion, including Calvin Klein, Tommy Hilfiger, Levi’s, Halston, Champion, Converse, Cole Haan, BCBG, French Connection, Starter as well as major sports leagues such as the NFL, NBA, NHL and MLB, among others.

Forward Looking Statements
This press release contains forward-looking statements. Statements that are not historical or current facts, including statements about beliefs and expectations, are “forward-looking statements” as that term is defined under the federal securities laws. Forward-looking statements are subject to risks, uncertainties and factors which include, but are not limited to, (i) risks relating to completing the proposed acquisition in the anticipated time frame, or at all; (ii) risks relating to the ability to realize the anticipated benefits of the proposed acquisition; (iii) risks relating to the receipt of regulatory approvals without unexpected delays or conditions and possibility of regulatory action; (iv) risks relating to significant costs related to the proposed acquisition; (v) the expected financial and operating performance and future opportunities following the consummation of the proposed acquisition; (vi) risks relating to the reliance on licensed product; (vii) reliance on foreign manufacturers; (viii) risk of doing business abroad; (ix) the current economic and credit environment risks; (x) the nature of the apparel industry, including changing customer demand and tastes; (xi) risks of operating a retail business; (xii) customer concentration; (xiii) seasonality; (xiv) customer acceptance of new products, (xv) the impact of competitive products and pricing, (xvi) dependence on existing management, (xvii) possible disruption from acquisitions, as well as other risks detailed in G-III's filings with the Securities and Exchange Commission. G-III assumes no obligation to update the information in this press release.

Investor Relations Contact
Nick Bacchus
SVP of Investor Relations and Treasurer
IR@g-iii.com

Media Contact
Lauren McClain
VP, Corporate Communications
GIIICommunications@g-iii.com

FAQ

What did G-III Apparel Group (GIII) announce about the Marc Jacobs brand on May 14, 2026?

G-III announced a definitive agreement with WHP Global to form a 50/50 joint venture owning Marc Jacobs intellectual property. According to G-III, it will acquire the global Marc Jacobs operating business and enter a long-term licensing agreement with the new JV.

How is the G-III (GIII) and WHP Global joint venture for Marc Jacobs structured?

The joint venture will be owned 50/50 by G-III and WHP Global and will hold Marc Jacobs intellectual property. According to G-III, it will then buy the operating business from the JV and license the brand under a long-term agreement.

How much is G-III (GIII) investing in the Marc Jacobs transaction and how will it be funded?

G-III expects to invest approximately $500 million in the Marc Jacobs transaction. According to G-III, funding will come from cash on hand and borrowings under its revolving credit facility, rather than from issuing new equity.

When is the G-III (GIII) and Marc Jacobs transaction expected to close?

The transaction is expected to close in G-III’s fiscal third quarter of 2027. According to G-III, completion depends on customary closing conditions, including required regulatory approvals for the acquisition and joint venture structure.

Will the Marc Jacobs deal be accretive or dilutive to G-III (GIII) earnings?

The Marc Jacobs deal is expected to be dilutive for the first 12 months after closing. According to G-III, the transaction is then expected to become accretive, potentially improving financial contribution after the initial integration period.

What operational role will G-III (GIII) have in the Marc Jacobs business after the deal?

G-III will acquire and manage the global Marc Jacobs operating business, including retail and distribution. According to G-III, WHP Global will oversee brand licensing, combining G-III’s operating platform with WHP Global’s brand management expertise.