VF Corporation signed a definitive agreement to sell its Contemporary Brands businesses to Delta Galil Industries, Ltd. Brands included in the transaction are 7 for All Mankind, Splendid and Ella Moss.
Commenting on the transaction, VF’s Chairman and Chief Executive Officer Eric Wiseman said, “We are pleased to have reached this agreement. The brands included in this transaction are leaders in their sectors, and have talented, passionate people who are motivated by serving the marketplace with distinctive apparel design and exceptional service.”
Wiseman continued, “Earlier this year we said that we are taking a focused and proactive look at the composition of our business portfolio to ensure that we are well positioned to maximize VF’s growth and return to our shareholders. This announcement illustrates that our work as active portfolio managers is progressing.”
The transaction, which is expected to close in the third quarter of this year, is subject to various regulatory approvals and other customary closing conditions that must be accomplished in order for a closing to occur. The selling price is $120 million, subject to various working capital adjustments.
The company’s largest brands are The North Face®, Vans®, Timberland®, Wrangler®, Lee® and Nautica®.
