Culture Kings founders lose $500 million in a stock market blood bath
Australian founders of Culture Kings lose $500 million in stock market carnage
- Culture Kings was sold to aka Brands in 2021
- Shares have plummeted from $22.09 to $0.82
- Culture Kings co-founded by Simon and Tah-nee Beard
The couple behind global streetwear brand Culture Kings has lost hundreds of millions of dollars on the stock market.
Simon, 38, and Tah-nee Beard, 34, created the fashion brand on the Gold Coast in 2008, with stores now seen in Australia, New Zealand and most recently in Las Vegas.
The Beards sold their clothing empire to an American company called ‘aka Brands’ in exchange for $307 million in cash and 23.3 million shares in 2021.
Their shares in aka Brands were at their peak on the New York Stock Exchange at $22.09 AUD, but fell to just $0.82 last week in a stock market carnage.
The sharp fall in the value of the couple’s shares means their net worth has dropped from $514 million to $19.1 million.
It is clear that the pair has held onto their shares amid the price swing.
Simon, 38, and Tah-nee Beard, 34, created Culture Kings fashion brand on the Gold Coast in 2008
Mr and Mrs Beard debuted on the Australian Financial Review’s Rich List in 2021 with a combined net worth of $626 million.
Their once humble fashion brand started in the Carrara markets on the Gold Coast, opening their first store in the US last November.
Culture Kings has received endorsement from stars such as Snoop Dog, while English singer Yungblud and rapper A$AP Rocky have also been in stores.
The Beards have described their company as built on a passion for “music and fashion from different cultures and communities around the world.”
“Our vision has always been to create the next global retail phenomenon where culture and style collide,” they said.
“We couldn’t have found a better partner than aka to help us further scale our business and realize our dream of being the #1 destination for streetwear in the world.”
The Beards sold their clothing empire to American company aka Brands in exchange for $307 million in cash and 23.3 million shares in 2021
The Las Vegas outlet, which has a basketball court, hairdressers, DJs and a recording studio that celebrities have used, is becoming a springboard for more stores.
Last month, the Beards announced they were stepping back from the company.
Mr Beard said the Las Vegas store “exceeds expectations” but that he and his wife are “entrepreneurial at our core and the public company role, it’s not for me, not my best fit.”
“We built a great team there and I believe they can lead it. I’m still on the board and I’m there when I can help and guide,” he said. The Australian.