Sequential Brands Signs Merger Agreement To Acquire MSLO

Sequential Brands Group, Inc. has signed a definitive merger agreement to acquire 100% of the outstanding shares of Martha Stewart Living Omnimedia, Inc. for aggregate consideration valued at $6.15 per share, payable 50% in stock and 50% in cash.

Under the terms of the merger agreement, which is reportedly valued at $353 million, Martha Stewart will continue to be an integral part of the brand she founded, serving as chief creative officer. In addition, Stewart will become a “significant stockholder” of the new public holding company of Sequential and MSLO and she will be nominated to serve on its board of directors as of the closing, according to the announcement.

“This is a transformational merger for Martha Stewart Living Omnimedia. This merger is positioned to further the growth and expansion of the unique Martha home and lifestyle brand,” said Stewart.

“With our media business operations now successfully transitioned to Meredith, we now have the opportunity to tap into Sequential’s expertise and resources to expand our merchandising business both domestically and abroad,” she added.

Yehuda Shmidman, CEO of Sequential, said, “Martha Stewart’s impact around the world is staggering, and the empire she founded is unmatched in its industry. Looking ahead, we believe that we can leverage our global activation platform at Sequential in partnership with Martha and her team to develop the next chapter of growth for the Martha Stewart brand.”

MSLO reaches approximately 100 million consumers across all media platforms each month and has a growing retail presence in thousands of locations with leading retailers such as Macy’s, The Home Depot, PetSmart, Michaels and Staples.

The merger also brings the Emeril Lagasse culinary brand to the Sequential portfolio.

The acquisition is expected to close in the second half of 2015.