(Reuters) -Levi Strauss on Tuesday stated it’ll promote its Dockers attire model to Reebok and Van Heusen proprietor Genuine Manufacturers Group for $311 million to concentrate on its flagship Levi’s model and the Past Yoga activewear line.
Final October, Levi Strauss introduced its intention to promote the underperforming Dockers model to focus on its core manufacturers and increase gross sales by way of its direct-to-consumer shops at full value.
“The Dockers transaction additional aligns our portfolio with our strategic priorities, specializing in our direct-to-consumer (DTC) first strategy, rising our worldwide presence and investing in alternatives throughout girls’s and denim life-style,” Levi CEO Michelle Gass stated in an announcement.
Dockers’ merchandise accounted for five% of its web revenues in every of the fiscal years 2024, 2023 and 2022, in response to firm filings.
The sale is anticipated to finalize by the tip of July for the U.S. and Canada operations, with the remaining international operations closing by January 2026.
The corporate plans to make use of $100 million of the money proceeds for share repurchases.
(Reporting by Neil J Kanatt in Bengaluru; EDiting by Tasim Zahid)
