Sustainable footwear brand Allbirds agreed to a $39 million acquisition by American Exchange Group. The transaction includes Allbirds' intellectual property along with specific assets and liabilities. The company reached a $4 billion valuation after its November 2021 IPO.
The deal is scheduled to close in the second quarter of 2026. Allbirds will seek shareholder approval for company dissolution following the closing. Stockholders will receive net proceeds from the sale in the third quarter of 2026.
The brand faced years of declining sales and increasing financial losses. Management previously attempted to pivot strategy and close retail stores to stem losses. The company was once a prominent favorite within the Silicon Valley tech community.