US-based footwear designer, manufacturer and marketer Crocs, Inc. has entered into a definitive agreement to acquire 100% of the membership interest of Jibbitz, LLC for $10 million in cash, plus a potential earn-out of up to $10 million based on Jibbitz hitting certain earnings targets.

Headquartered in Boulder, Colorado, Jibbitz is a family operated business that specialies in the customisation of Crocs footwear. Jibbitz now offers over 300 different designs, sold through 4,000 retail accounts both in the US and in Europe.

In addition to the purchase agreement, which is scheduled to close in December, the two companies have also entered into an endorsement agreement that takes effect immediately. This agreement provides for Crocs’ public endorsement of Jibbitz on a worldwide basis. The endorsement agreement also allows Jibbitz to access Crocs’ network of distributors and retailers as well as utilising its warehousing and logistics infrastructure throughout the world.

Jibbitz will operate as a wholly owned subsidiary of Crocs, Inc. following the closing and founders Rich and Sheri Schmelzer will remain with Jibbitz as president and chief design officer respectively.