Varsity Brands

Varsity Brands, Inc.
Company typePrivate
IndustryAcademic apparel, sports equipment, cheerleading
PredecessorHerff Jones, Varsity Spirit
Founded2014; 10 years ago (2014)
Headquarters
Farmers Branch, Texas
,
United States
Key people
Adam Blumenfeld, CEO
Productsathletic apparel, athletic footwear, cheerleading apparel, camps, competitive events, graduation products, class rings, yearbooks, jewelry
Owner
Number of employees
9,000
Websitewww.varsitybrands.com

Varsity Brands, Inc. is an American apparel company owned by the private equity firm Kohlberg Kravis Roberts. It is primarily focused on academic apparel and memorabilia, with its operations split among three major subsidiaries, including Herff Jones—a manufacturer of products such as class rings, graduation caps and gowns, and yearbooks; Varsity Spirit—which produces apparel and competitions in cheerleading; and BSN Sports, a distributor of sports uniforms and equipment.

History

In 2011, Herff Jones merged with Varsity Brands. Its founder and CEO, Jeff Webb, became president and CEO of Herff Jones.[1] Herff Jones acquired BSN Sports in 2013.[2][3]

In June 2014, it was announced that the company would operate under the Varsity Brands name to reflect a more integrated operation.[3] The company was then sold to the private equity group Charlesbank Capital Partners for $1.5 billion.[2] In 2018, it was sold to Bain Capital for around $2.5 billion.[2]

Adam Blumenfeld, CEO of BSN Sports since 2007, was named CEO of Varsity Brands in 2017.[4]

In 2023, Varsity Brands sold the Herff Jones graduation business to Atlas Holdings.[5]

Varsity Brands was sold to Kohlberg Kravis Roberts for approximately $4.75 billion in August 2024.[6]

Antitrust and sexual assault lawsuits

In May 2020, Varsity Brands faced a consolidated lawsuit[7] over monopoly control in the cheerleading apparel industry.[8]

In September 2022, Varsity Brands also faced two lawsuits regarding sexual assault charges related to Varsity-Brands-connected coaches.[9][10]

In May 2024, Varsity Brands and its previous owners agreed to pay $82.5 million to settle a class-action lawsuit accusing them of monopolizing the cheerleading competitions, camps, and apparel markets. This settlement follows a $43.5 million antitrust settlement from October 2023. Key elements of the 2024 settlement include removing the requirements for cheerleaders to attend Varsity-run camps for championship eligibility and stay at Varsity-approved hotels and ending information sharing between Varsity and the U.S. All Star Federation, which was founded by Varsity.[11]

References

  1. ^ Michael Sheffield (11 December 2012). "Jeff Webb Named President, COO of Herff Jones". Memphis Business News. Retrieved 6 August 2015.
  2. ^ a b c Hirsch, Lauren (2018-06-19). "Bain to acquire Varsity Brands, a top maker of cheerleader uniforms and school spirit items, for roughly $2.5 billion". CNBC. Retrieved 2020-09-30.
  3. ^ a b "Rebranding spreads Varsity name around". Memphis Business News. American City Business Journals. 2014-06-03. Retrieved 2020-09-30.
  4. ^ url=https://www.dallasnews.com/business/business/2015/02/27/the-biggest-distributor-of-sports-apparel-footwear-and-equipment-is-right-here-in-farmers-branch.html/
  5. ^ "Varsity Brands sells its Herff Jones high school, college graduation business". Dallas News. 2023-09-06. Retrieved 2024-05-14.
  6. ^ Womack, Brian (August 27, 2024). "Varsity Brands acquired by KKR for reported $4.75 billion". The Dallas Morning News.
  7. ^ "Fusion Elite All Stars v. Varsity Brands, LLC - Antitrust Class Action Settlement". Berger Montague. Retrieved 2024-03-21.
  8. ^ Stoller, Matt. "The Coming Collapse of a Cheerleading Monopolist". www.thebignewsletter.com. Retrieved 2024-03-21.
  9. ^ Libit, Daniel (2022-09-07). "Varsity Cheerleading Faces Sex Abuse Claims Amid Antitrust Litigation". Sportico.com. Retrieved 2024-03-21.
  10. ^ Stoller, Matt. "Antitrust and the Fall of a Cheerleading Giant". www.thebignewsletter.com. Retrieved 2024-03-21.
  11. ^ Libit, Daniel (2024-05-14). "VARSITY CHEERLEADING, BAIN AGREE TO $82.5 MILLION ANTITRUST SETTLEMENT". Sportico. Penske Media Corporation. Retrieved 2024-05-16.