The parent company of Reebok, Quiksilver, Roxy and more has acquired the well-known brand from Levi Strauss & Co.
Authentic Brands Group (Authentic), the owner of the Eddie Bauer, Reebok, Quiksilver, Roxy, Forever 21, Aéropostale, Brooks Brothers, Lucky Brand, Nautica, and Nine West brands, and Levi Strauss & Co. (LS&Co.) has entered into a definitive agreement for LS&Co. to sell its Dockers brand to Authentic for an initial transaction value of $311 million, subject to customary adjustments and closing conditions, with the potential to reach up to $391 million through an $80 million earn-out opportunity in future years based on the performance of the Dockers business under Authentic’s ownership.
LS&Co. said in a media statement that it remains focused on driving long-term, sustainable, profitable growth across categories, channels and regions as it continues to deliver stakeholder value. The company said it intends to return approximately $100 million of the net cash proceeds from the transaction to shareholders through share repurchases, which aligns with its established capital allocation strategy.
