ASB MAGAZINE; VF Corporation (NYSE: VFC), announced that it has completed the sale of the Reef® brand to The Rockport Group (Rockport). A leading maker of casual and dress shoes, Rockport is a portfolio company of certain affiliates of Charlesbank Capital Partners, LLC (Charlesbank), a middle-market private equity firm. The announcement follows our October 4, 2018, release in which VF announced that it had entered into a definitive agreement regarding the sale of this business. Terms of the agreement were not disclosed although it was reported that Reef’s annual sales were roughly US$150M. VF acquired Reef in 2004 with reported sales at the time of US$75M annually.
[UPDATE] In its US Securities Exchange Form 10 Q released today, VF said it had recorded an estimated US$9.9 million loss based on the anticipated terms of the sale. The loss is included in the other income (expense), net line item in the Consolidated Statement of Income for the three months ended September 2018. VF received cash proceeds of $139.4 million, which are subject to working capital and other adjustments.
VF Corporation (NYSE: VFC) outfits consumers around the world with its diverse portfolio of iconic lifestyle brands, including Vans®, The North Face®, Timberland®, Wrangler® and Lee®. Founded in 1899, VF is one of the world’s largest apparel, footwear and accessories companies with socially and environmentally responsible operations spanning numerous geographies, product categories and distribution channels. VF is committed to delivering innovative products to consumers and creating long-term value for its customers and shareholders. For more information, visit www.vfc.com.
About The Rockport Group
The Rockport Group is home to the Rockport, Aravon and Dunham brands. With its diverse assortment of men’s and women’s footwear, products from The Rockport Group can be found in various retail channels in more than 50 countries worldwide. Headquartered in the Greater Boston area, The Rockport Group is committed to its history of innovation and a consumer-centric approach to style, fit and comfort. For more information, visit www.rockport.com.
About Charlesbank Capital Partners
Based in Boston and New York, Charlesbank Capital Partners is a middle-market private equity investment firm managing more than $5 billion of capital. Charlesbank focuses on management-led buyouts and growth capital financings and also engages in opportunistic credit investments. The firm seeks to partner with strong management teams to build companies with sustainable competitive advantage and excellent prospects for growth. For more information, please visit www.charlesbank.com.
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