Guess? and WHP Global Make Sense Together to Me
The Board of Directors of Guess recently revealed that the company has received a "take-private" proposal from WHP Global, and the company is considering the offer.
What does it mean?
Well, for one, WHP Global and Guess? are already partnered together. WHP acquired the intellectual property of rag & bone last year, and Guess is running the operations (since WHP Global is a licensing firm, it does not directly operate retail).
I suspect the relationship between the companies has given them both a very good view of each other. The tie-up makes sense. Guess is still to this day a venerable brand, and WHP likely has more situations in which it needs operating partners. I suspect in that sense, Guess will remain somewhat of an arms-length operating partner for WHP Global even after the transaction -- just not as a public company.
WHP Global like all IP licensing owners will of course keep acquiring companies, which gives them an almost constant need to operate even as it collects IP. It will be interesting to see what happens here.