US-based brand management company Authentic Brands Group (ABG) has reached a settlement and dismissal of its lawsuit against checkout technology firm Bolt.

As part of the settlement agreement, ABG has been awarded an undisclosed stake in Bolt. It has been reported that ABG’s stake will be less than 5%.

The company will also explore the possibility of implementing Bolt’s technology for more of its portfolio brands over the coming months.

ABG founder, chairman and CEO Jamie Salter said: “ABG looks forward to deepening its ties with Bolt by becoming shareholders under the new leadership of chief executive Maju Kuruvilla and we are excited to continue exploring broader opportunities with our businesses.”

Following the settlement, the companies will continue the partnership by providing one-click checkout services for two of ABG’s brands, Forever 21 and Lucky Brand.

Representatives of both companies declined to provide further details of their agreement.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData

Earlier this year, ABG launched a complaint against Bolt for allegedly failing to deliver promised technology.

Bloomberg reported that ABG claimed it had lost more than $150m in online sales when Bolt was integrated with Forever 21.

Bolt was also accused of ‘overstating the nature of its integration’ to imply it had a large network of customers.

Bolt CEO Maju Kuruvilla said: “We are a proud partner of ABG and have enjoyed powering one-click checkout for Forever 21 and Lucky Brand.

“ABG’s commitment to continuing its partnership with Bolt is a testament to their long-term vision of digital innovation and their ethos of identifying best-in-class partners.”

In March this year, ABG completed its acquisition of sports apparel brand Reebok from adidas for a total consideration of up to €2.1bn ($2.3bn).

Adidas received the majority of the deal value in cash under the terms of a definitive agreement the companies signed last August.