Allbirds sold for $39 million. It raised nearly 10 times that amount in its IPO.

Allbirds, the fleece sneaker brand that has become a kind of unofficial uniform for the Silicon Valley set, has agreed to sell all of its assets and intellectual property to the American Exchange Group for… $39 million — which is roughly a tenth of the $348 million it raised in its 2021 IPO and a small fraction of more than $4 billion valuation I ordered it briefly on the first day of trading.

The deal still needs shareholder approval and is expected to close in the second quarter, with proceeds distributed to shareholders sometime in the third quarter. Shares jumped 36% after the news in after-hours trading. The stock closed Monday at $2.98, giving the company a market value of $24.5 million — meaning the $39 million sale price actually represents a premium over where the shares actually traded.

The collapse of the brand has been well documented. After going public, Allbirds aggressively expanded into brick-and-mortar retail and adjacent product categories — leggings, jackets, performance running shoes — that didn’t connect with its core customers. Losses piled up as a result; Co-founder Tim Brown later admitted that rapid growth cost the company “Some of our DNA.“

American Exchange Group is a private brand and portfolio management company founded 18 years ago that also owns Aerosoles and Jonathan Adler.