Kontoor Brands Inc. completed the previously announced acquisition of Norwegian outdoor and workwear brand Helly Hansen from Canadian Tire Corp. (CTC) for approximately $900 million.
The transaction was first announced on February 19.
Kontoor Brands, the parent of the Wrangler and Lee denim brands, was spun off from VF Corp. in 2019.
“Today marks an exciting step forward for Kontoor as we expand our portfolio of iconic consumer brands. The acquisition of Helly Hansen will increase our growth profile, drive greater category, channel and geographic diversification, and increase our penetration in the attractive outdoor and workwear markets,” said Scott Baxter, president, chief executive officer and chairman of Kontoor Brands. “I want to thank the entire Helly Hansen team for their partnership as we have worked toward this exciting milestone. Together, I am more confident than ever we will create significant long-term value for our shareholders.”
Helly Hansen is expected to be immediately accretive to the company’s revenue, adjusted earnings per share and cash flow in fiscal 2025, consistent with the company’s outlook provided on May 6, 2025.
Canadian Tire purchased Helly Hansen in 2018 for Canadian $985 million (U.S. $771 mm).
Helly Hansen’s worldwide revenue in 2024 was Canadian $894 million ($629 million), including sales to CTC. Canadian Tire The company said Helly Hansen’s 2024 EBITDA was CN$102 million ($72 million) on a Canadian IFRS basis. Adjusted EBITDA for 2024 was CN$76 million ($53.5 million) under the pre-IFRS 16 accounting standard employed by CTC at the time of the Helly Hansen acquisition.
In conjunction with the transaction, CTC also expects to continue to sell Helly Hansen products under its banner under a multi-year supply agreement with Kontoor Brands.
Image courtesy Helly Hansen
