Allbirds Goes Private and Comes Under U.S. Ownership
Allbirds is set to become a private company. The American Exchange Group has reached an agreement to acquire all of the assets and liabilities of shoe manufacturer Allbirds for $39 million.
Dissolution and liquidation planned for 2026
As reported by Reuters, Allbirds plans to file a proxy statement by April 24 to seek shareholder approval for the sale of its assets, as well as the subsequent dissolution and liquidation of the company. The transaction is also expected to close in the second quarter of 2026, with the net proceeds—after deducting liquidation costs—distributed to shareholders during the third quarter.
The end of a long downward spiral for the sustainable brand
Founded by Alen Mamrout in 2008, American Exchange Group owns and licenses brands such as Aerosoles, White Mountain, Ed Hardy, Rampage, Alexis Bendel, Born, and Jonathan Adler. For Allbirds, this acquisition marks the end of a long period of difficulties for the eco-friendly footwear brand.
Listed on the stock market in 2021 with a valuation of $2 billion, the stock surged 90% at its initial public offering (IPO), bringing the market capitalization to approximately $4.1 billion. However, the post-IPO boom—driven by the expansion of the store network and the move into related product categories—was followed by a period of decline. This decline is linked to a slowdown in consumer spending, but above all to ill-advised strategic choices that led to mounting losses. Fiscal year 2024 thus saw revenue plummet to $190 million, down from $254 million the previous year, and a net loss of €93 million.
A drastic reduction in the store network
During 2024, Allbirds closed 14 stores in the United States, followed by nine more in the first half of 2025. The company then announced the closure of its remaining 20 retail locations, keeping only two factory outlets and two boutiques in London open. At its peak, the company had 61 retail locations. By the end of February 2026, only four will remain worldwide.