Levi’s has announced its plans to sell a brand under its portfolio, Dockers, which offers a selection of business casual apparel, to Authentic Brands Group for $391 million.
The deal was initially valued at $311 million and went upwards to $391 million.
Michelle Gass, president and CEO of Levi Strauss & Co said: “The Dockers transaction further aligns our portfolio with our strategic priorities, focusing on our direct-to-consumer (DTC) first approach, growing our international presence, and investing in opportunities across women’s and denim lifestyle.
“After a robust process, we are confident that we maximized the value of the business and that Authentic is the right organization to usher in the next chapter of growth for the Dockers brand.”
The decision comes as part of Levi’s strategy to focus more on its core brands and streamline its business operations towards its main denim apparel retail brand.
The move is a strategic acquisition for Authentic Brand Group, which operates a portfolio of brands under its umbrella, including Champion, Aeropostale, Reebok and Nine West.
Jamie Salter, founder and CEO of Dockers, added: “Dockers is a natural fit for the Authentic model. It’s a brand with deep roots, high awareness and a solid foundation in licensing—all things we look for when acquiring new brands.
“Dockers played a key role in shaping casual workwear as we know it today and we see significant potential to build on that legacy and grow the brand across a variety of categories.”
Levi’s recently reported strong first quarter results and shrugged off tariff concerns.
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