In a move that was all but overshadowed by the recent acquisitions made by K2, VF Corp. acquired substantially all of the assets of Kipling, a Belgium lifestyle apparel and pack manufacturer. VF is placing the brand in its Outdoor Coalition under the watch of Jim Thomsen, managing director of VF's European Packs business. Thompson will report to Eric Wiseman, VP and chairman of VF's Outdoor and Sportswear Coalitions.
The acquisition price and other terms were not disclosed by VFC. Kiplings 2003 sales totaled $69 million, and the company is expected to contribute $40 million to VFs top-line in fiscal 2004.
The deal should give VFs Outdoor Coalition a second foothold in the European market in addition to the recent Napapijri acquisition. Kipling boasts 17 wholly-owned retail stores in Belgium, Holland and the U.K. and has approximately 120 shops managed through distributors, primarily in Asia. The product line produced by Kipling adds a new category for VF — accessories targeting the female and youth consumer.
Looking forward, VF has stated that its top three priorities for Kipling are to drive growth in the U.S. Europe and Asia; leverage VFs sourcing, distribution and reporting systems, and evaluate the potential retail expansion in the EU and the U.S.
