Canada Goose Holdings, Inc., entered into an agreement to sell Canadian footwear brand Baffin Ltd. to L.P. Royer, Inc., a Canadian manufacturer of work and military footwear.
Terms of the transaction were not disclosed.
Canada Goose acquired Baffin in 2018 as its first step into the footwear category, “gaining valuable expertise and infrastructure as the company began building its own footwear capabilities as part of its lifestyle product expansion strategy.”
Dani Reiss, Chairman & CEO, Canada Goose, said, “This transaction is about focus. We’ve made meaningful progress evolving Canada Goose into a year-round lifestyle brand, and this gives us the opportunity to continue that momentum by simplifying our operating model, focusing resources on our highest-priority opportunities and drive long-term profitable growth. Paul Hubner has done a fantastic job building Baffin into the strong Canadian brand it is today. I’m grateful for everything he and the team have contributed over the years, and I’m excited to see Baffin continue to grow with Royer.”.
Since launching its first footwear collection in 2021, Canada Goose has continued to invest in and expand the category, growing from extreme-weather boots into a broader assortment that includes lightweight hikers, everyday performance styles and sneakers. Canada Goose said, “That evolution reflects Canada Goose’s long-term commitment to footwear and its vision of building a broader lifestyle offering. The transaction allows for even greater focus and investment behind the Canada Goose brand across categories, seasons and markets.”
Simon La Rochelle, president, Royer, added, “Baffin is a respected Canadian brand with a long history of technical performance, durability and product expertise. We have long admired Baffin’s heritage and look forward to supporting its continued growth while preserving the qualities that have made it successful.”
Royer and Baffin will continue to be operated as two separate brands, under the Royer Group umbrella.
In a separate release, Royer said it intends to invest in the Baffin brand and “put its manufacturing expertise to grow it around the world, establishing it as the definitive Canadian reference in the industry.”
La Rochelle said, “This combination marks a defining milestone in Royer’s history. Baffin is a brand with real heritage, and we see enormous opportunity to build on that legacy and grow it globally. We’re committed to investing in Baffin and its team.”
Mark Hubner, managing director, Baffin, said, “Baffin has built an incredible reputation over more than 40 years by creating products that perform in some of the world’s toughest conditions. Joining Royer brings together two Canadian companies with a shared commitment to craftsmanship, innovation and technical expertise. I’m excited about what we can accomplish together and the opportunities ahead for the brand.”
The transaction is expected to close in August subject to customary closing conditions.
Image courtesy Baffin Ltd.
