(Filed Under Fashion News). Iconix has acquired the worldwide master license for the Ed Hardy Brand from Nervous Tattoo, the company announced Wednesday.

Through the agreement, Iconix has gained control of Ed Hardy’s licensing and marketing functions, and has increased its total ownership stake to 85 percent. It paid $55 million plus a $7 million earn-out for this acquisition, and Nervous Tattoo, who is continuing as an Ed Hardy T-shirt, hat and hoodie licensee, will pre-pay $7 million in royalties under this license. Previously, Iconix had a small investment in Ed Hardy through its two-year-old joint venture with founder Don Ed Hardy.

Iconix expects that the Ed Hardy brand will generate total annual royalty revenue of about $15 to $16 million on a pro-forma consolidated basis.

Ed Hardy is a global consumer products brand sold in over 40 countries and in 30 different categories, including swimwear, lingerie and hosiery.

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Published 04-27-2011 by Amanda Torres Price