VF Corp takes Supreme. According to Bloomberg, the agreed price is 2.1 billion dollars. The transaction is expected to be completed by the end of 2020. Supreme founder James Jebbia and the brand management team will remain with the company. From the iconic streetwear brand are exiting the Carlyle Group and Goode Partners, who are selling their shares.
VF Corp takes Supreme
“We are thrilled to welcome Supreme to the VF family. And to consolidate our ten-year relationship as we create value for all of our stakeholders,” said Steve Rendle, VF Corp CEO in the official note announcing the operation. “The acquisition of the brand Supreme is a further confirmation of our vision to further evolve our brand portfolio,” continued Randle. The joint press release states that “the acquisition follows a long-standing relationship between Supreme and VF” given the periodic collaboration of the New York streetwear brand with Vans, The North Face and Timberland, which are part of the VF Corp portfolio.
A billion dollar opportunity
“Supreme offers a billion dollars global opportunity over time, through international and direct-to-consumer (D2C) expansion, key pillars of VF’s 2024 strategy”. VF also emphasises the advantages of the acquisition in terms of “growth, profitability and cash flow. According to VF Corp, Supreme will contribute to the next fiscal year (April 2021-March 2022) “with at least 500 million dollars in revenue”.
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