Authentic Brands Group (ABG) is making headlines with its strategic acquisition of Guess?, Inc., set to finalize in early 2026. The deal, valued at a staggering $1.4 billion (including debt), transitions Guess from public trading to privately held, marking one of the largest and most influential U.S. fashion transactions of the year. Guess will join ABG’s portfolio—which already boasts over 50 international brands and generates $38 billion in annual global retail sales—setting the stage for a new era of scale, synergy, and omnichannel innovation.
Deal Structure: The 51/49 Split and Shareholder Premiums
Under the terms, ABG will own 51% of a new entity controlling almost all Guess intellectual property and global licensing agreements. The remaining 49% will stay in the hands of Guess’s founders—Maurice and Paul Marciano, Nicolai Marciano, and CEO Carlos Alberini. Notably, Guess shareholders outside this group will receive a payout of $16.75 per share, representing a 26%–73% premium over earlier bids and previous stock prices. This is a significant uplift compared to March’s $13 per share offer from WHP Global, which the special committee ultimately declined in favor of Authentic.
The operating side of Guess will become a private entity, managed by the current leadership team. This move means nearly 1,000 directly managed stores and over 600 partner-operated locations (totalling ∼1,600 stores across 100 countries) remain under Marciano and Alberini leadership, with no disruption of day-to-day operations anticipated.
Scale and Synergy: Why ABG Targets Guess
ABG, led by CEO Jamie Salter, is not just buying a company—it’s scaling its reach. Guess ranks as Authentic’s second-largest brand (after Forever 21) and brings in an estimated $6 billion in global retail sales. With key headquarters in Los Angeles and Lugano, Guess strengthens ABG’s foothold in both the U.S. and European fashion markets. Salter said, “We have tremendous respect for the Marcianos and their team, who have built an innovative, heritage-rich brand with incredible global reach … [This] acquisition expands our presence in existing markets, opens doors to new ones and builds on a brand platform with a proven record of success.”
Licensing Engine and Brand Renaissance
Guess, founded in 1981, transformed denim into fashion and pioneered the stonewashed slim jeans that defined an era. As of 2025, the brand leverages a powerful licensing model, with a presence in both high-end retail and the booming secondhand market—helping Guess attract Gen Z and millennial shoppers. ABG’s acquisition will supercharge this strategy, using global marketing, influencer engagement, and extensive cross-brand licensing to extend Guess’s reach into new territories and categories.
ABG is recognized for doubling engagement and sales in newly acquired brands such as Reebok and Brooks Brothers through targeted influencer campaigns and data-driven merchandising.
Strategic Advantages: Agility and Flexibility
Going private provides Guess with enhanced strategic agility. CEO Carlos Alberini noted that as a private company, “benefiting from the perspectives of a globally recognized licensing partner, Guess? will have enhanced flexibility to navigate today’s complex operating environment and execute on a more targeted, long-term strategy, enabling us to even better serve customers around the world.”
Before the announcement, Guess’s founders and CEO held about 40% collective ownership, with Paul Marciano’s 28% leading the group.
Conclusion: Guess Scaled to $38 Billion Platform
ABG’s acquisition of Guess will close in 2026’s first quarter, pending regulatory approval and shareholder votes. The move takes Guess private, links it to ABG’s $38 billion annual sales machine, and positions 1,600 retail outlets and $6 billion in revenue for synergistic growth. Both brands are set to benefit from new licensing opportunities, cross-platform marketing, and operational flexibility as global fashion enters a new period of consolidation and creativity.
