Rip Curl have recently appointed local independent advisor Gresham and US based R.W. Baird to run a sale process for the iconic Rip Curl surf brand which established it’s roots in the Victorian town of Torquay in 1969. While some of Australia’s surfwear giants have taken a few beatings in recent years Quicksilver filed for Chapter 11 bankruptcy protection in 2015 and Billabong is worth a fraction of the price it was worth a decade ago. Potential buyers have been told Rip Curl’s globally recognised business still has earnings before interest, tax, depreciation and amortisation of $50 million.
While Rip Curl has fared much better than it’s larger rivals by sticking to it’s surfing roots, Rip Curl has not been completely immune to the choppy business waves that contributed to the near demise of Quicksilver and Billabong.
Rip Curl blamed some of it’s 2016 business slump on Rip Curl – North American business where poor trading at department stores and specialty stores contributed to a blowout in it’s inventories.
Anyway next on the agenda is the proposed business sale, we will wait and see what happen’s in the next Rip Curl chapter. The business is for sale and is asking for $400 million and is sure to attract some interest from private equity investors or apparel companies.