Wolverine World Wide has divested the US business of Wolverine Leathers to New Balance for about USD 6 million. It is now “evaluating alternatives for Wolverine Leathers’ non-US business”. Wolverine Leathers has tanning and colouring contracts with tanneries in the US, Vietnam, Thailand and China. It manufactures in five locations worldwide. It claims to be “the world’s largest supplier of high performance pig’s nubuck from North America and Central Asia”.
The story of Wolverine Leathers
Wolverine World Wide announced today that it has sold the US business of Wolverine Leathers to its long-standing customer, New Balance, for approximately USD 6 million. As early as 1910, Wolverine realised the importance of vertical integration and opened its own tannery in Rockford, Michigan, taking advantage of the newly developed chrome tanning. In the mid 1900s, at the request of the US government, Wolverine entered the pigskin business. This revolutionised the industry, and allowed Wolverine to specialise in pig leathers. In 1956, it created pig‘s nubuck. Today, it produces in 5 locations around the world.
Other divestments
In addition to the US tannery’s assets, Wolverine entered into a definitive agreement to sell Hush Puppies’ trademarks, patents, copyrights and domains in China, Hong Kong and Macau to its current sub-licensee, Beijing Jiaman Dress, for approximately USD 58.8 million. “These transactions are the latest actions in our ongoing efforts to reshape our portfolio and identify our most significant opportunities”, said Mike Stornant, executive vice-president and chief financial officer of Wolverine Worldwide. The company has long said it wants to focus on its most important and profitable brands.
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