VF Corporation to sell Nautica to Authentic Brands Group
Greensboro, North Carolina-based apparel company VF Corporation announced on Monday that it has entered into a definitive agreement to sell its Nautica brand to NYC brand management company Authentic Brands Group, LLC.
Bank of America Merrill Lynch acted as VF’s exclusive financial advisor on the transaction, while Davis Polk & Wardwell LLP continues to support the group as its legal advisor.
“As part of VF’s global business strategy, we’ve stated that our highest priority is to actively manage our brand portfolio to ensure that its composition positions us to accelerate growth”, stated VF Chairman, President and CEO Steve Rendle in a release. “This announcement marks yet another example of how we’re delivering on our commitment. We are pleased to have reached this agreement with Authentic Brands Group.”
The deal comes on the heels of VF’s announcement of its acquisition of performance footwear brand Altra, as the company continues to reorganize its portfolio to maximize its growth potential.
Jamie Salter, chairman and CEO of ABG, commented, “We are thrilled to welcome Nautica to the ABG portfolio and are ready to take the helm of this classic American brand.”
Founded in 1983, nautical-inspired American brand Nautica is a mid-range to high-end apparel label currently available in more than 65 countries.
VF Corporation currently owns a varied portfolio of lifestyle brands such as Vans, The North Face, Timberland, Wrangler and Lee.
Authentic Brands Group manages more than 30 global consumer brands and operates through over 2,300 locations worldwide. The ABG portfolio includes Juicy Couture, Herve Leger and Airwalk.
The transaction is expected to close in the first half of 2018 but is subject to standard closing conditions and regulatory approvals.
Details concerning the terms of the agreement were not disclosed.
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