Allbirds Sells to American Exchange Group for $39M After Deep Losses
Allbirds recorded net losses of $77.3 million on $152.5 million revenue in 2025 and faced substantial doubt over its ability to continue as a going concern. The company agreed to be acquired by American Exchange Group for $39 million, highlighting extreme financial distress and limited buyer interest.
1. Financial Performance Decline
Allbirds posted net losses of $152.5 million in 2023 on revenues of $254.1 million and $77.3 million in 2025 on revenues of $152.5 million, and its annual report warned of substantial doubt over the company’s ability to continue as a going concern.
2. Sale Transaction Details
The company agreed to be acquired by American Exchange Group for $39 million, a fraction of its earlier valuation, with the transaction expected to close in the second quarter pending shareholder approval.
3. Market Context and Buyer Pool
Struggling footwear brands face scarce interest from strategic and financial buyers, leaving primarily brand management firms willing to purchase intellectual property and license out the brands for royalties.
4. IPO and Valuation Reversal
Allbirds completed its IPO in November 2021, reached a peak valuation of $4.1 billion, then saw its valuation collapse after operational issues and mounting losses led to the low‐price sale.