Drake’s OVO brand is reportedly in negotiations to sell a 50 percent stake to Authentic Brands Group (ABG), a move aimed at expanding its apparel business through broader licensing opportunities.

ABG manages over 50 brands and generates more than $36 billion in annual retail sales, working with major entities like Champion, Reebok, and Sports Illustrated, suggesting a high potential for OVO’s growth through this partnership.

The potential sale highlights OVO’s established market presence, with reported annual sales exceeding $50 million, but the exact terms and valuation considerations of the deal remain unclear.

Valuation estimates for OVO suggest that a 50 percent stake could be worth between $50 million and $150 million, depending on the company’s overall market valuation, although no specific sale price has been disclosed.

The partnership is seen as a strategic move for OVO to leverage ABG’s licensing model, potentially expanding into new retail channels, global markets, and product categories while maintaining its distinct cultural identity.

OVO has built its brand through successful collaborations with prominent organizations such as the NHL, NFL, and Looney Tunes, indicating its potential for further growth with ABG’s influence.

While negotiations are ongoing and outcomes uncertain, this deal could significantly enhance both OVO’s market visibility and Drake’s personal wealth, reflecting the brand’s ambition to capitalize on its current success and scale operations.