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Allbirds, the wool sneaker brand that became a kind of unofficial uniform for the Silicon Valley set, has agreed to sell all of its assets and intellectual property to American Exchange Group for $39 million<\/a> \u2014 which is roughly one-tenth of the $348 million it raised in its 2021 IPO and a fraction of the more than $4 billion valuation<\/a> it briefly commanded on its first day of trading.<\/p>\n The deal still needs shareholder approval and is expected to close in the second quarter, with proceeds distributed to stockholders sometime in the third quarter. Shares jumped 36% on the news in after-hours trading. The stock had closed Monday at $2.98, giving the company a market cap of $24.5 million \u2014 meaning the $39 million sale price actually represented a premium to where shares were already trading.<\/p>\n The 11-year-old brand\u2019s fall has been well-documented. After going public, Allbirds expanded aggressively into physical retail and adjacent product categories \u2014 leggings, jackets, performance running shoes \u2014 that didn\u2019t connect with its core customers. Losses stacked up a a result; co-founder Tim Brown later admitted the rapid growth had cost the company \u201csome of our DNA.<\/a>\u201c<\/p>\n American Exchange Group is a privately held, 18-year-old brand management firm and portfolio company that also owns Aerosoles and Jonathan Adler.<\/p>\n<\/div>\n