Niwot-based shoemaker Crocs Inc. continues to snap up smaller companies in what analysts say is a move to diversify its offerings.
On Tuesday, Crocs said it had acquired Exo Italia, an Italian designer of shoes and other products that use a foamlike material. Exo Italia helped Crocs develop its spring line, which hits stores early next year.
The acquisition comes just three weeks after Crocs said it would pay $10 million for Boulder-based Jibbitz, a maker of accessories that fit into the holes in Crocs shoes.
Terms of the Exo Italia deal were not disclosed. Analysts said the move points to an effort by the company to seek out additional revenue streams and broaden its product line.
“It definitely could represent new lines and styles (for Crocs),” said Jeff Mintz, vice president of research for Wedbush Morgan Securities. “In some ways, it essentially gives them this expertise without having to build it in-house.”
Exo Italia employs about 30 people doing research and development in Italy. It subcontracts with a Romanian production facility, which has about 80 employees during periods of peak production.
The company has worked with Nike, Legos, Oakley and Pony.
Crocs spokeswoman Tia Mattson said the company hasn’t determined whether Exo Italia will continue its relationship with its existing clients.
Analysts had recently seized upon Croc’s dependence on its two most popular products, the Beach and Cayman shoes.
“For the moment, (Crocs) is essentially a one-trick pony, but what a trick it is,” said R.W. Baird senior research analyst Mitch Kummetz in a report issued last week.
On Tuesday, Kummetz said Crocs must evolve into a head-to-toe lifestyle brand. Both acquisitions are a step in the right direction, he said.
Staff writer Aldo Svaldi contributed to this report.
Staff writer Kristi Arellano can be reached at 303-954-1902 or karellano@denverpost.com.
