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Business
12 Months Ended
Jan. 28, 2017
Basis of Presentation  
Business

1.Business

Cherokee Inc. (together with its consolidated subsidiaries, “Cherokee Global Brands” or the “Company”) is in the business of marketing and licensing the Cherokee, Hi-Tec, Magnum, 50 Peaks, Interceptor, Hawk Signature, Tony Hawk, Liz Lange, Completely Me by Liz Lange, Flip Flop Shops, Everyday California, Carole Little, and Sideout and related trademarks and other brands it owns or represents, as well as marketing and franchising the Flip Flop Shops brand and conducting indirect product sales to select retailers and government entities that are customers of its Hi-Tec family of footwear brands. Cherokee Global Brands is one of the leading licensors of style-focused lifestyle brands for apparel, footwear, home products and accessories.

On December 7, 2016, the Company closed a Share Purchase Agreement (“Hi-Tec Acquisition” or “SPA”) with Hi-Tec International Holdings BV (“Hi-Tec”) and simultaneous Asset Purchase Agreements (“APAs”) with various third parties, pursuant to which Cherokee Global Brands acquired all of the issued and outstanding equity interests of Hi-Tec for $87,252 in cash, excluding non-interest bearing liabilities assumed and capitalized transaction costs. Cherokee Global Brands created a legal entity entitled Irene Acquisition Company B.V. (the “buyer”) to execute the transaction.