NexCen Brands inks 30-year licensing agreement with Camuto Group

NexCen Brands, Inc. (Nasdaq: NEXC) said this morning that it entered into a 30-year licensing agreement with one of the industry's top footwear players, the Camuto Group, to develop women's footwear for all categories of NexCen's luxury brand, Bill Blass.

The manager and licenser of intellectual property and IP-centric businesses said it also closed in partnership with the Camuto Group on the acquisition of trademarks and other intellectual property of The Shoe Box, Inc., a multi-brand luxury shoe retailer whose brand portfolio includes BCBG, Nicole Miller, Chloe, Jimmy Choo and Marc Jacobs.

NexCen says the agreement will enable the Camuto Group to create a product for Bill Blass as a key component of The Shoe Box strategy. 

“The Bill Blass footwear license is a synergistic bonus, with its own vertical distribution channel,” Lazard Capital Markets analyst Todd Slater wrote in a research note today.

Slater says the license is a smart strategic move, but is not likely to be the last deal of 2007. “While the deal is expected to be earnings neutral for 2008, and presents an excellent growth opportunity in the out years, NexCen is likely to close at least one more acquisition catalyst by year end,” Slater wrote.

Slater calculates that the stock is 23% below his liquidation value of $6.28 and says he would “continue to buy the stock aggressively, especially given the high visibility on additions to the portfolio over the next 12 months.” The analyst has a target price of $18 on the stock.

NexCen and the Camuto Group will seek to roll out in excess of 500 of The Shoe Box stores globally.

Shares of NexCen (NEXC) slipped 8.29%, or $0.43, to $4.76 at 1:54 p.m. ET. Shares of NexCen have been trading in the range of $3.98 to $13.18 for the past 52 weeks.

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