Sequential Brands Group has announced a secondary offering of shares to raise an estimated $184.2 million, with warrants for additional shares worth more than $40 million. It did so after the completion of its takeover of Galaxy Brand Holdings for US$100 million, adding brands such as And1, Avia and Nevados to its roster of brands, which includes Heelys and Revo, among others. Yehuda Shmidman, chief executive of the young American brand management and licensing organization, says the acquisition will allow it to reach retail-equivalent sales of nearly $2 billion. His goal is to grow to $3.5 billion in three years' time, delivering annual adjusted operating earnings of $70 million before amortization (Ebitda) on net revenues of $100 million. For the second quarter ended June 30, Sequential has reported a net loss of $607,000 against a profit of $693,000 in the year-ago period, although revenues went up by 61 percent to $7,003,000. The forecast for the full financial year calls for adjusted operating earnings before amortization of between $36 million and $40 million on revenues of $56-60 million.

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