Alpargatas Buys 49.9% Stake in Washable Shoe Brand Rothy’s (1)

Alpargatas SA, the Brazilian owner of flip-flop sandal maker Havaianas, has reached an agreement to buy as much as 49.9% of U.S. direct-to-consumer footwear brand Rothy’s Inc.

Alpargatas and Rothy’s said in a statement Monday that the transaction will involve a two-step process. First, Alpargatas will acquire shares worth $200 million, followed by tender offer to acquire stock worth about $275 million from current Rothy’s shareholders, according to the statement.

Rothy’s, which will have a valuation of $1 billion with the transaction, will continue to operate independently, the companies said.

“The partnership brings together two vertically-integrated leaders and innovators ...