SEC cracking down on Iconix Brand

The SEC is tired of playing nice with꧋ the ✱Iconix Brand Group.

The federal regulator, after weeks of an informal perusal of the books of the New York-based licensor of Joe Boxer, Candie’s, Danskin and more than two dozen other brands, opened up a full-fledged probe of the company, it was 🅠disclosed on Monday.

News that Mary Jo White’s Securities and Exchange Commission would start to dig into Iconix’s books sent shares of the company tumbling 23.9 perce😼nt, to $5.﷽67, after touching a 52-week low.

The SEC had been looking into the company’s acco𒊎unting practices related to its joint ventu🤡res in China and Latin America, analysts said.

But it’s not clear🔯 whether the current probe is focusing on the accounting issues, noted Brean Capital analyst, Liz Pierce.

The SEC could be looking at management changes at Iconix — which has had a complete turnover of its C-suite within the past couple of years — or the restatements, or a class ac💟tion lawsuit “to name a few” problems the company is facing, wrote Pierce in a research note.

Icon🐽ix said it is cooperating 𓆉with the investigation.

The company, which also owns th♔e rights to Peanuts in a partnership with the family of Charles M. Schulz, has had a series of setbacks, including its dashed hopes th♋at the popular “Peanuts” movie, out in November, would spark sales of its licensed merchandise.

But that didn’t happen, the company said, because the “Star Wꦅars” movie was stealing its thunder in stores.

Some investors have questioned whether Iconix has tried to mask the lack of growth 𒐪in some of its brands by divesting or acquiring its joint ventures to give its overall balance sheet a lift when it came up short.