Latest News

VF Corporation To Buy Streetwear Brand Supreme

VF Corporation and streetwear brand Supreme have inked a merger agreement, while Goode Partners and The Carlyle Group are selling their investments in the Supreme brand, according to a Monday (Nov. 9) announcement.

The deal is expected to be concluded late in the current calendar year, subject to “customary closing conditions” and the regulatory go-ahead, according to the statement.

“We are thrilled to welcome Supreme(R) to the VF family and to build on our decades-long relationship as we create value for all of our stakeholders,” VF Chairman, President and CEO Steve Rendle said in the announcement. “VF is the ideal steward to honor the authentic heritage of this cultural lifestyle brand while providing the opportunity to leverage our scale and expertise to enable sustainable long-term growth.”

Supreme sells clothing, accessories and shoes under its eponymous label throughout the world via direct-to-consumer (D2C) channels. Founder James Jebbia as well as the label’s senior leadership team will stay with the New York-based company.

“We are proud to join VF, a world-class company that is home to great brands we’ve worked with for years, including The North Face(R), Vans(R), and Timberland(R),” Jebbia said.

The Supreme brand provides a $1 billion worldwide opportunity over time via global and D2C growth, according to the announcement.

Morgan Stanley offered a fairness opinion in connection with the deal, while the legal advisor was Davis Polk & Wardwell LLP.

In October, VF Corporation reported $256.7 million, or 66 cents a share, in operating income on $2.6 billion in revenue for the three months that concluded Sept. 30, 2020. That compared to $649 million, or $1.63 a share, in net income on $3.2 billion in revenue for the year-ago quarter. In addition, the Colorado-based firm declared a 49 cents per common share dividend for the quarter concluding Sept. 30 in comparison to 43 cents for the same quarter a year ago.

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *

More in:Latest News