Quiksilver sells Tony Hawk business to Cherokee

HUNTINGTON BEACH, Calif. (AP) -- Quiksilver, which sells skateboarding- and surfing-inspired clothes, has sold the licensed clothing business tied to former pro skateboarder Tony Hawk to a Cherokee subsidiary for $19 million.

Cherokee Inc.'s brands include Carole Little, Liz Lange, Sideout and its namesake.

Quiksilver originally bought Hawk's clothing brands in 2000. The Tony Hawk brand is exclusively licensed in the U.S. to Kohl's Corp., and Cherokee said that relationship would continue.

Cherokee CEO Henry Stupp said in a statement that the acquisition of Hawk Designs Inc. helps Cherokee further expand into the department store and specialty channels of distribution globally.

The sale closed on Friday.

Quiksilver Inc. announced last month that it was looking to sell and exit non-core businesses such as Hawk Designs. It is also looking to sell its majority stake in Sufdome Shop Ltd., its Moskova brand and its business under license with Maui and Sons.

The Huntington Beach, Calif., company said Monday that it plans to use proceeds from the Hawk Designs sale to pay back debt and to invest in emerging markets.

In December Quiksilver, whose brands include DC Shoes, Roxy and its namesake, reported that its fourth-quarter adjusted results and revenue missed analysts' expectations. It also announced last month that it solid its snowboard subsidiary Mervin Manufacturing for $58 million.

Shares of Quiksilver fell 12 cents to $8.19 in morning trading.