Roots CEO exits as go-private deal closes
Roots Corp. has completed its go-private transaction with Marquee Brands.
Under the terms of the deal, which was annnounced in August, New York-based Marquee Brands acquired the Canadian apparel company for C$4.10 per share. Marquee operating partner JM&A Design and Development Inc., led by Canadian retail experts Joseph Mimran and Frank Rocchetti, is serving as core operating partner of Roots.
Roots’ shares are expected to be delisted from the Toronto Stock Exchange shortly, according to the company. It plans to make an application to cease to be a reporting issuer in each of the provinces and territories of Canada.
With the closing of the transaction, Meghan Roach has stepped down as president and CEO of Roots. Roach has served as president and CEO of the company since 2020, after joining as interim CFO in 2019. She will continue to support the company in an advisory capacity to ensure a smooth transition.
“It has been a privilege to lead Roots and to work alongside such a talented and dedicated team,” said Roach. “With the transaction complete, this is the right moment for me to step aside. I have every confidence in the team’s ability to carry the brand forward, and I am excited about the future of the company. I wish everyone at Roots continued success.”
Roots will continue to be operated in Canada. In a statement when the deal was announced in August, Marquee Brands, whose portfolio includes more than 20 brands, ranging from Martha Stewart to Sur La Table, said it would focus on global brand stewardship and expansion, as well as new category development.
“Taking on Roots is an incredible honor, and our strategic partnership with JM&A ensures the brand remains anchored in Canadian culture,” said Heath Golden, CEO of Marquee Brands. “With that foundation in place, we see significant global opportunity to extend Roots into new categories, markets and consumer segments, while remaining true to all that makes the brand distinctive.”
In a LinkedIn post commenting on the close of the transaction, Mimran said: “Our plan is simple: lead with product and design, bring more creativity and more categories to the brand, and give our customers more reasons to come back to Roots. The next chapter starts now.”
