Huffy Corporation has sold its Gen-X 'opportunity' business to a group headed by its original founders, James Salter and Kenneth Finkelstein, and industry veteran Rick White for an undisclosed amount.
Paul R. D'Aloia, President and Chief Executive Officer commented, “The sale of the opportunity business is consistent with our previously announced strategy of moving the Company toward a focus on two operating segments, a sporting goods segment and a services to retail segment. The sale of the Opportunity business, which includes certain assets, including the “Gen-X” name, allows management to focus on maximizing the value of our branded product portfolio, improves our working capital position and helps mitigate liquidity pressure in the first quarter. Our branded sporting goods business in Toronto will now operate under the name Huffy Sports Canada, Inc.”
“Our acquisition of the Gen-X name and the opportunity business is part of a much bigger and very exciting strategic plan that we have for the business,” said James Salter, Chief Executive Officer. “Gen-X Sports Inc., our new organization, will be extremely well funded and in a great position to capitalize on the opportunities that exist in the market place today,” said Kenny Finkelstein, Chief Financial Officer.
