VF Corp. is slimming down its portfolio as part of its ongoing focus on its more consumer-minded active lifestyle brands.
The apparel and footwear giant has entered into an agreement to sell the occupational portion of its work segment to a subsidiary of Redwood Capital Investments, a diversified holding company. (In January 2020, VF announced it was exploring strategic alternatives for a portion of its workwear business, but not the Dickies and TimerlandPRO brands.) Terms of the deal were not disclosed.
The brands in the deal represent the occupational workwear portion of VF's work segment and include Red Kap, VF Solutions, Bulwark, Workrite, Walls, Terra, Kodiak, Work Authority and Horace Small.
“The sale of our occupational work brands reflects our continued focus on transforming VF into a more consumer-minded and retail-centric enterprise while further simplifying our portfolio and operating model,” said Steve Rendle, chairman, president and CEO, VF Corp., whose brands include Vans, The North Face, Timberland and Supreme. “We are pleased to have reached this agreement with Redwood Capital Investments. They are an ideal owner to guide these brands and businesses into their next phase of growth.”
The transaction, which is expected to close in the first quarter of fiscal 2022, is subject to customary closing conditions and regulatory approvals.