NexCen sells Waverly business to Iconix for $26 million, will use proceeds to pay off debt

By Lisa Kerner

Charlotte, N.C., Sept. 29 - NexCen Brands, Inc. entered into an asset purchase agreement to sell its Waverly business to Iconix Brand Group, Inc. for $26.0 million in cash.

Iconix, a New York diversified fashion and home brands company, said it will assume some future liabilities associated with the Waverly business.

Proceeds from the sale will be used to pay off all $21.3 million of Waverly's outstanding debt and to pay down debt associated with NexCen's Bill Blass business, a NexCen news release said.

The asset sale is expected to close within the next 30 days.

"We continue to make progress in executing our revised strategic plan to focus on our franchising businesses," NexCen chief executive officer Kenneth J. Hall said in the release.

"We believe the restructuring of our credit facility, now followed by the sale of Waverly, are important steps in the company's efforts to de-lever our balance sheet, enhance our liquidity and ultimately to maximize value for our shareholders."

NexCen said it received multiple bids for its Bill Blass business as part of its review of strategic alternatives, it was previously reported.

In August, NexCen announced it closed on a $175.6 million amended and restated credit facility. The company also announced that its CEO, Robert W. D'Loren, resigned and was replaced by Hall, former executive vice president, chief financial officer and treasurer.

New York-based NexCen acquires and manages global brands, including Bill Blass and Marble Slab Creamery.

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