New Contract for RVCA FounderFriday, February 7, 2014
The parent of Costa Mesa-based apparel company RVCA said it signed a new contract that retains founder Pat Tenore as president.
The contract is good through 2018 and includes changes to Tenore’s earnouts.
Tenore sold RVCA to Australia-based Billabong International Ltd. for an estimated $30 million.
RVCA, an art- and design-driven clothing and accessories company, is one of three brands that Billabong International has said hold potential for big growth as part of a larger turnaround strategy. Billabong International’s also focused its growth bid on its namesake brand and Costa Mesa-based Element.
“The RVCA brand has tremendous potential globally and this arrangement aligns Pat's incentives with those of our shareholders to maintain RVCA on a path of strong double-digit earnings growth over the next five years,” Billabong International Chief Executive Neil Fiske said in a statement.
It said in the same announcement that it hired investment banking firm Guggenheim Securities to assist with a strategic review that could include possible sales of Irvine-based Swell Inc.'s Swell.com and SurfStitch.com of Australia.