Hurley joins bebe and Brookstone under Bluestar Alliance, leaving Nike with Converse and its namesake brand.

Nike Inc. is offloading its surf and skate apparel brand Hurley as it focuses more on direct-to-consumer sales, the sportswear company announced this week.

Nike, No. 33 in the Internet Retailer 2019 Top 1000, sold Hurley to Bluestar Alliance, a brand management company that owns department store apparel staple bebe stores Inc. (No. 471) and gifts retailer Brookstone Inc. (No. 425).

“As we drive increasingly more targeted investment and focused growth through Nike’s Consumer Direct Offense, this change in ownership will allow sharper focus and intentional investment in Hurley’s growth potential,” Nike president of categories and product Michael Spillane said in a statement.

Nike, which also owns shoe brand Converse, has increased its direct-to-consumer focus in recent years, launching stores that work cohesively with apps, enhancing personalization on its site and launching a subscription shoe service for kids.


Nike also recently replaced CEO Mark Parker, a 40-year veteran of the company who is moving to an executive chairman role, with former eBay Inc. head John Donahoe. EBay is No. 5 in the ranking of Internet Retailer Online Marketplaces.

Bluestar Alliance owns more than a dozen brands and manages licenses for more than 300 brands. In the past, it has owned home electronics and gifts retailer The Sharper Image (No. 933) and maternity apparel brand Liz Lange. Bluestar Alliance expects retail sales across its brands to exceed $3.00 billion this year, according to the release announcing the sale.