California Court Clears Skechers $9B Acquisition by 3G Capital

A California federal court has rejected a lawsuit filed by the Key West Police Officers & Firefighters Retirement Plan seeking to block or delay the $9 billion acquisition of Skechers USA by investment firm 3G Capital. The pension fund argued that the disclosures regarding the takeover were insufficient and sought an injunction to halt the deal, citing concerns over shareholder election options. However, the court found that the plaintiff failed to demonstrate irreparable harm and noted that adequate disclosures had been made, including details on deal negotiations and fairness opinions. The acquisition, which will take Skechers private and is the largest footwear buyout to date, has already received several antitrust approvals, with only the Securities and Exchange Commission review pending. The Greenberg family, majority stakeholders in Skechers, will maintain a minority stake and continue to oversee operations post-acquisition. This ruling clears the way for 3G Capital to complete the purchase and delist Skechers from the stock exchange.