Sequential Brands (NASDAQ:SQBG) news for Wednesday includes shares of SQBG stock soaring higher on talk of a potential sale of the company.
News that Sequential Brands may be interested in a sale comes after the company provided an update in a press release today. In that release, the company notes that its Board of Directors has relaunched a “broad exploration of strategic alternatives.”
According to the news release, the look into strategic alternatives has Sequential Brands searching for opportunities that “best position it for success and maximize value.” It notes that this could include the sale of the company or the divesture of one or more of its brands.
William Sweedler, executive chairman of Sequential Brands, had this to say about the possible sale news.
“The Company has successfully rationalized its cost structure and strengthened its relationships with key stakeholders during the past several months. We believe now is the right time to re-focus on the process of exploring strategic alternatives to fully maximize value for our shareholders.”
Sequential Brands also notes that in its exploration of strategic alternatives, Stifel is serving as its exclusive financial advisor.
Sequential Brands’ sale talk boosted activity for SQBG stock. More than 2 million shares have traded as of this writing. That’s a major boost over its daily average trading volume of about 631,000 shares.
Sequential Brands is a fashion company that sells apparel, shoes, and accessories that cover a wide array. That includes Heelys, which the company recently teamed up with Reebok on for collaboration.
SQBG stock was up 21.6% as of noon Wednesday.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
