Today, Authentic Brands Group (ABG) announced the purchase of MMA brand Sinister. Earlier this fall, ABG purchased Tapout, Silver Star and Hitman.
According to ABG’s press release (via The Street):
“This acquisition completes our mixed martial arts stable of brands that will now reach all tiers of distribution,” said Jamie Salter, chief executive of Authentic Brands Group. “Not only is Sinister’s distribution at Kmart and Sears highly appealing but they have a world-class partnership with Hybrid, one of the best-in-class apparel licensees in the business.”
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Authentic Brands Group expanded Sinister’s reach globally by signing its first major licensee deal in Canada with CMT Sourcing Group Limited, an affiliate of PTX Performance Products in Ontario, and will introduce the brand to additional foreign markets, as well as expand Sinister’s product categories within the U.S
Payout Perspective:
ABG has acquired an impressive stable of MMA brands. The acquisition appears to be a good move for Sinister as ABG plans to expand its presence nationally and globally. Sinister’s sponsorship presence has decreased in recent years as less fighters come out to Sinister brand shirts or shorts. However, its recent partnership with KMart has increased its brand awareness (notably, James Toney at UFC 118).
It will be interesting to see the future of the Sinister brand as we go forward. What does the ABG acquisition mean for sponsorship of fighters? Will Sinister’s brand see a resurgence? Will ABG change anything about the brand?
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