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Cherokee acquires Liz Lange and Completely Me

SHERMAN OAKS, Calif. (AP) -- Cherokee Inc. said Thursday that it has acquired the Liz Lange Maternity and Completely Me brands for $14 million.

The deal with LLM Management Co. LLC, which is an affiliate of Bluestar Alliance LLC, close on Tuesday.

Cherokee, based in Sherman Oaks, Calif., markets and manages an array of clothing, shoe and home product brands worldwide such as Sideout Sport, Carole Little and its namesake brand.

The company expects the latest deal will be immediately accretive and improve its cash flow.

Liz Lange is a well-known maternity brand with an exclusive collection sold at Target. Cherokee said it sees an opportunity to expand the brand's distribution. The deal includes the Completely Me sportswear line, which Liz Lange launched in 2010.

Shares fell 34 cents, or 2.6 percent, to $12.92 by midday. Its shares are down 12 percent from a 52-week high of $14.68 set in early July. They traded as low as $10.15 in late January.