Surf Dive 'n Ski

Billabong International Limited
Company type	Public (until acquisition)
Industry	Apparel, accessories, sporting goods
Founded	1973
Founder	Gordon Merchant, Rena Merchant
Headquarters	Gold Coast, Queensland, Australia
Area served	Worldwide
Key people	Neil Fiske (CEO, from 2013), Matthew Perrin (former CEO)
Products	Surfwear, skateboarding and snowboarding apparel and accessories, watches, backpacks
Owner	Authentic Brands Group (since 2023)
Parent	Boardriders, Inc. (2018–2023)

Adapted from the English Wikipedia article Surf Dive 'n Ski, available under CC BY-SA 4.0Updated 11 August 2025

Billabong International Limited is an Australian enterprise focused on apparel and accessories related to surfing, including watches, backpacks, as well as skateboarding and snowboarding products marketed under multiple brand names. Established in 1973 by Gordon and Rena Merchant, the company became publicly traded on the Australian Securities Exchange in August 2000. The term "Billabong" is derived from the Wiradjuri word bilabaŋ, which refers to a seasonal watercourse. By 2013, Billabong's portfolio included notable brands such as Von Zipper and Element Skateboards, alongside Honolua Surf Company, Kustom, Palmers Surf, Xcel, Tigerlily, Sector 9, and RVCA.

In 2018, Boardriders, Inc., the parent company of competitor Quiksilver, acquired Billabong.

Following a downturn beginning in 2008, Billabong experienced several takeover attempts involving former US CEO Paul Naude. The company implemented a strategic turnaround that restored profitability by 2014.

In December 2016, then-CEO Matthew Perrin was convicted of fraud and forgery charges and received an eight-year prison sentence in January 2017.

Early history

Founded in Gold Coast, Queensland, Australia in 1973 by Gordon and Rena Merchant, Billabong started with the design and handcrafting of board shorts sold directly to local surf retailers. The shorts gained a reputation for durability due to Rena’s triple-stitching method. Sponsorship of surfing competitions helped increase brand visibility, enabling expansion throughout Australia during the 1980s.

Capitalizing on domestic success, Billabong began exporting its products by the late 1980s to countries such as New Zealand, Japan, and South Africa. The surge in popularity of surfing during the 1990s further accelerated the company’s growth. In 2000, Billabong went public on the Australian Securities Exchange to raise funds for further expansion and acquisitions.

Acquisitions

Throughout the early 2000s, Billabong transitioned from a wholesale model toward retail through targeted acquisitions. In 2001, it acquired Von Zipper, an eyewear brand, along with Element, which specialized in skateboarding apparel and hard goods.

The acquisition of Kustom surf shoes in 2004 coincided with Billabong’s purchase of Palmers Surf. In 2005, the company added Nixon Inc., a watch and accessories brand aimed at board-sports enthusiasts.

In 2007, Billabong broadened its product range by acquiring Xcel, a wetsuit and watersport accessories brand, as well as Tigerlily—its first label dedicated exclusively to women’s apparel—complementing its existing female-focused offerings.

The company continued expanding its retail presence aggressively in 2008 through four acquisitions: Gold Coast-based Kirra Surf; Quiet Flight—a US East Coast retailer operating primarily in Florida with 14 stores; Sector 9 skateboard manufacturer along with Gullwing trucks; and DaKine, a board-sport accessories brand expected to account for approximately 4% of Billabong’s group sales in fiscal year 2008-09.

Toward the end of 2008, Billabong acquired Two Seasons’ UK-based chain of thirteen stores. In 2009, it purchased Swell, an online US retailer specializing in board-sports brands.

Billabong’s expansion continued into 2010 with a decade-long licensing agreement involving skateboard company Plan B and strengthened collaboration with Element. Retail acquisitions that year included Becker Surf and Sport (excluding surfboards) in the United States and Canadian action sports retailer West 49. Mid-year saw apparel brand RVCA join Billabong’s portfolio; founder Pat Tenore emphasized Billabong’s commitment to preserving creative autonomy. The year concluded with acquisitions of Australian retail outlets Surf Dive ‘n' Ski and Jetty Surf from General Pants Group.

Collapse

On 16 February 2012, Billabong requested a suspension of its share trading following news of a takeover bid valued at A$776 million by the American private equity firm TPG Capital. The following day, the company revealed a significant restructuring plan that included shutting down as many as 150 retail outlets worldwide and cutting 400 full-time positions globally, with 80 of those jobs lost in Australia. Additionally, Billabong sold approximately 48.5% of its Nixon watches and accessories brand to Trilantic Capital Partners, creating a joint venture and generating roughly US$285 million (A$265.78 million) in net proceeds aimed at debt reduction. During February 2012, TPG Capital submitted two takeover offers, both declined by Gordon Merchant, who holds a 15% stake in Billabong.

On 27 August 2012, CEO Launa Inman presented a strategic four-year roadmap designed to revive sales growth and boost profitability by streamlining operations, capitalizing on the Billabong brand, and improving supply chain and e-commerce systems. The projected cost for these initiatives was around A$80 million. By September 2012, competition between private equity firms TPG Capital and Bain Capital intensified as they vied for control of Billabong.

Takeover

By June 2013, Billabong was close to securing a refinancing arrangement but failed to finalize terms with US private equity groups Altamont Capital Partners and Sycamore Partners. In July 2013, two US hedge funds challenged Altamont’s accepted proposal by suggesting a debt-for-equity exchange that would award them a 60% ownership stake; however, Billabong declined this conditional offer.

In August 2013, Billabong received an alternative proposal from hedge funds Centerbridge and Oaktree, who offered more favorable terms including a higher purchase price and lower interest rates on loans compared to Altamont’s US$300 million financing offer. Despite this, the company indicated plans to move forward with Altamont and Blackstone’s US$325 million refinancing package by late August. Chairman Ian Pollard stressed the importance of concluding the drawn-out negotiations that had negatively affected employee morale and diverted management attention.

On 29 August 2013, Pollard expressed skepticism about accepting the Centerbridge/Oaktree bid but confirmed ongoing consideration. By September 2013, Billabong abandoned the Altamont agreement and sought shareholder consent for a deal with Centerbridge and Oaktree that would grant them control over the majority of senior debt, up to 40.8% equity ownership, and three seats on the board. On 21 September, Neil Fiske was appointed as CEO. Simultaneously, Billabong pursued divestment of Canadian skate retailer West 49.

The sale of West 49 was completed on 4 November 2013 when fashion retailer YM Inc. acquired it for approximately CA$9–11 million. Alongside this transaction, Billabong entered into a two-year nonexclusive wholesale contract with YM Inc., valued at around CA$34 million, transferring ownership of 92 Canadian stores.

In January 2014, Oaktree Capital Management and Centerbridge Partners refinanced Billabong’s debt in exchange for a 40.8% equity stake. At the same time, Billabong announced intentions to divest its 51% interest in SurfStitch as well as its entire stake in Swell with advisory support from Guggenheim Securities.

Return to profitability

In the year 2000, the company entered the public market with revenues of A$225 million, which expanded to A$1.7 billion by 2011. Earnings reached their highest point at A$249 million in 2007. Nevertheless, for the six-month period ending 31 December 2011, net earnings dropped sharply by 71%, amounting to A$16.1 million.

By early 2013, Billabong experienced substantial profit declines in its key markets, culminating in a loss of A$536.6 million during the December half-year. The full fiscal year 2013 recorded a loss totaling A$859.5 million, and by June 2013, the Billabong brand's valuation had decreased to only A$90 million. Worldwide sales for 2012–13 fell by 13.5%, reaching A$1.34 billion. The company returned to profitability in 2015, posting a net after-tax profit near A$25.7 million—the first positive result since 2011.

In April 2023, Authentic Brands Group submitted a firm bid to acquire Boardriders, Inc., which owns brands including Quiksilver, Billabong, Roxy, RVCA, DC Shoes, Element, Von Zipper, and Honolua, from Oaktree Capital Management for US$1.25 billion. This acquisition was finalized in September 2023.

Liberated Brands Bankruptcy

On February 2, 2025, Liberated Brands—the operator of Billabong retail outlets in the United States—filed for Chapter 11 bankruptcy protection, citing assets and liabilities estimated between $100 million and $500 million. The company declared it would shut down all remaining Billabong stores across the US, with clearance sales commencing one week before the bankruptcy filing. Authentic Brands Group retains ownership of the Billabong trademark.

Awards

During the 2009 Q150 celebrations, Billabong was honored as one of Queensland’s Q150 Icons in recognition of its status as a pioneering innovator.

Teams

Billabong supports various teams of riders who serve as ambassadors representing different cultural segments. By August 2013, the skateboard team was no longer featured on the company’s website, whereas sponsorship efforts for surfing athletes were significantly increased, backing hundreds of surfers worldwide.

External links