Playboy to spend more than $300 million to buy a high-end Victoria’s Secret rival

As if it wasn’t all in already on this check out, Playboy (PLBY) is apparently reiterating a person age-previous mantra in business enterprise — intercourse sells. 

The sexual way of living firm — fresh new off its public debut by way of a SPAC transaction in February — is reportedly nearing a deal to acquire superior-close lingerie and enjoyment solutions maker Honey Birdette, sources explain to Yahoo Finance. The obtain rate is in excessive of $300 million in dollars and stock, resources say. 

Honey Birdette is Australia-dependent and launched in 2006. It now has 60 shops globally, and just lately opened a location in Las Vegas. Additional openings are predicted before long in Dallas, Miami and New York Metropolis, sources say.

The brand is properly rewarding on an functioning financial gain foundation and has “substantial margins,” according to sources. Honey Birdette loungewear, swimwear and essentials collections are on tap, the resources say. Playboy plans to leverage Honey Birdette’s infrastructure to enable establish out its own branded lingerie using direct aim at Victoria’s Magic formula, amid other synergies envisioned from the offer. 

The offer is poised to be the initial significant one particular by Playboy CEO Ben Kohn. 

Kohn joined Playboy as CEO in 2017. He has appeared to reintroduce the brand to buyers who may possibly feel it still helps make glossy journals that includes scantily clad women of all ages and sells them from inside of the Playboy Mansion (billionaire Daren Metropoulos acquired the Playboy Mansion in 2016 for $100 million). 

Rather, Playboy has sought to capitalize on its very well-recognized model by licensing it out for numerous buyer solutions these types of as attire and particular treatment solutions. 

Playboy shares are up about 162% because debuting on the Nasdaq on Feb. 11. 

Brian Sozzi is an editor-at-significant and anchor at Yahoo Finance. Observe Sozzi on Twitter @BrianSozzi and on LinkedIn.

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