Sustainable footwear brand Allbirds, once valued at $4bn, sells IP and remaining assets to management group American Exchange buys for $39m

Photo by Sam Carter on Unsplash

Allbirds, the eco-friendly sports shoe brand which was for a short time the darling of Silicon Valley tech entrepreneurs, has announced the sale of its assets and IP to brand management group, American Exchange.

American Exchange already owns, manages or licences a portfolio of 30 fashion and accessory brands, including footwear names Aerosoles, Cliffs, *eckō unltd., and Mudd.

Allbirds is based in San Franciso but has origins in New Zealand (‘all birds’ refers to New Zealand’s lack of large mammals). Co-founder Tim Brown, a former NZ professional footballer, raised $120,000 via Kickstarter to fund development of a prototype sneaker made from merino wool fabric. The company then secured VC investment, and celebrity support via an investment by Leonardo Di Caprio.

Its 2021 Initial Public Offering raised $348 million, and its market value briefly reached more than $4bn, but tanked within months. Market value before the American Exchange deal was announced was $24.5m.

American Exchange is acquiring intellectual property, brand, customer relationships, and remaining inventory.