Vera Bradley acquires digitally-native, ‘give back’ accessories brand
Vera Bradley Inc. has expanded its portfolio.
The company signed a definitive agreement to acquire a 75% interest in Creative Genius, a digitally-native jewelry and accessories company with a loyal and growing following that also operates under the name Pura Vida Bracelets (Pura Vida).
The deal is valued at $75 million, and up to $22.5 million in incremental earnout based on 2019 performance. Vera Bradley has the right to acquire the remaining 25% stake in the company after five years.
“As we pursue ways to increase revenues, grow shareholder value, expand our customer community, and diversify the business, Pura Vida will be a great addition to our portfolio,” said Robert Wallstrom, CEO, Vera Bradley. “Pura Vida is a highly differentiated lifestyle brand with uniquely strong products and amazing consumer loyalty. The brand resonates with individuals worldwide, creating a community of fun-loving, socially conscious, and stylish advocates, reflecting its potential to become a full-fledged lifestyle brand.”
Pura Vida will operate as a subsidiary of Vera Bradley from its current headquarters in La Jolla, California, and will continue to be led by founders Griffin Thall and Paul Goodman. Since 2010, Pura Vida has partnered with over 174 different charities around the world and has donated more than $1.7 million to causes they believe in. Its artisan community has expanded from its original Costa Rica base to El Salvador, India and more. More than 650 artisans depend on steady income in positive working environments by making jewelry for the brand.
“We founded our company upon the ‘pura vida’ lifestyle of Costa Rica, encouraging the appreciation of life’s simple treasures,” the co-founders said in a statement. “With Vera Bradley providing the financial, organizational, and operational infrastructure, the Pura Vida lifestyle can grow as high and far as we want it to. We are excited and proud to partner with a great lifestyle brand that embraces our mission to create sustainable jobs for artisans around the world and raise awareness for charities through products that give back.”
Vera Bradley’s revenues totaled $416.1 million for its most recent fiscal year, ended Feb. 2. Pura Vida reported total revenue of $68.3 million for its fiscal year, ended Dec. 31.
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