Steve Madden is buying its Canadian licensee, SM Canada. The privately owned company is the umbrella for Steve Madden Canada, Steve Madden Retail Canada, Pasa Agency and Gelati Imports. SM Canada has seven retail stores in the country and also markets the brand's products in the wholesale channel. The purchase price has been estimated at about $29 million, depending on a working capital adjustment and earn-out provisions for performance through March 2017. For the fiscal year ended July 31, 2011, SM Canada reported revenues of about $32 million. Steve Madden sees Canada as a strong and growing market, and plans to expand its retail presence and infrastructure there.

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