- Prachi Singh |
VF Corporation and Icebreaker Holdings, a privately held company based in Auckland, New Zealand, have signed a definitive purchase agreement. The company said in a statement that on a trailing 12-month basis, Icebreaker Holdings generated approximately 150 million dollars of revenue and the transaction expected to be complete early in 2018 is anticipated to be immediately accretive to VF’s earnings per share.
“Bringing the Icebreaker brand into the VF portfolio is a special opportunity,” said Steve Rendle, Chairman, President and CEO of VF Corporation in a media release, adding, “Its natural fiber focus is an ideal complement to our SmartWool brand, which also features Merino in its clothing and accessories.”
The Icebreaker brand was founded in 1995 and its entire product assortment is based on Merino wool, plant-based fibers and recycled fibers. Its ‘farm to garment’ approach uses Merino wool sourced from the most sustainable and ethical Merino farms in New Zealand. Icebreaker has 340 full-time employees and its products are sold in 47 countries through wholesale channels and branded retail and e-commerce platforms.
“I founded Icebreaker to offer a natural choice to adventurers, and to build a global brand from New Zealand,” said Jeremy Moon, Founder, Icebreaker Holdings, adding, “Our partnership with VF provides us with the largest platform in the world to tell our story, access new markets and reach new consumers at an accelerated pace.”
The company added that Barclays is acting as exclusive financial advisor to VF Corporation and Davis Polk & Wardwell LLP is acting as legal advisor.