VF Mergers And Acquisitions To Icebreaker

According to the world clothing and shoe net, we have completed the acquisition of tooling brand.

Only a month.

Corp. (NYSE:VF) Wei Fu Group has launched new acquisitions. The new target is New Zealand outdoor and sports lifestyle apparel.

Icebreaker Holdings, Ltd..

As the paction required approval from the New Zealand overseas investment office, it meant that the VF Corp. rich Group paid at least 100 million New Zealand dollars for the Icebreaker Holdings and Ltd., or about $69 million 350 thousand, and the two sides of the paction did not disclose details.

The Icebreaker Holdings, founded by Jeremy Moon before 1995, has broken through with the unique positioning of the functional outdoor sportswear made from New Zealand Merino wool.

At present, the company employs 340 employees and sells them in 47 countries and regions. In the past 12 months, it earned 220 million New Zealand dollars, or about 150 million dollars.

In the press release, Jeremy Moon said that selling to VF Corp. group is a golden opportunity to achieve the goal of establishing a global brand in New Zealand. "Cooperation with VF provides us with the biggest platform to tell our stories to the world and speed up access to new markets and new customers," Jeremy Moon pointed out.

Steve Rendle, chairman, President and chief executive officer of VF Corp. group, revealed that what he saw is the ideal complement between Icebreaker and SmartWool brand of the group in the purchase and application of natural fibers.

After the completion of the delivery in early 2018, Icebreaker will join the outdoor and extreme sports departments of Vans north, The North Face and Timberland Tim LAN.

Jeremy Moon and Icebreaker Holdings, Ltd. chairman Rob Fyfe will remain in office.

Dickies products

Steve Rendle recently said that M & A is still an important opportunity to drive growth, and the group is continuing to pay close attention to potential targets, but he refutes the view that some Wall Street analysts believe that they need large acquisitions to achieve annual revenue of $12 billion.

He pointed out that the first consideration for mergers and acquisitions is brand composition and whether it helps groups to establish direct links with consumers.

In October 2nd, VF Corp. rich group completed the acquisition of Williamson-Dickie Mfg.Co., the parent company of 5 tooling brands such as Dickies, for 820 million US dollars.

The Group expects the new sales of US $875 million for the rest of the fiscal year will bring us $200 million in revenue. By 2021, the annual revenue of Williamson-Dickie Mfg.Co. is expected to grow to US $1 billion.

According to statistics, in the last three quarters, the VF Corp. rich group recorded an income of 3 billion 508 million 800 thousand US dollars, up 5.4% from the same period last year, which is better than the US $3 billion 390 million in the market forecast. It was better than expected in the two quarter (which failed to reach the market target in the past two years), and the fixed exchange rate rose 4%. In the light of the trend of the people, Vans fan, the enduring sports brand, is the main driving force for growth.

The adjusted EPS for continuing operations is $1.23, which is 9.8% higher than FactSet's consolidated expectation of $1.12.

The gross profit margin of continuing operations increased by 180 basis points to 50.1% at fixed exchange rates.

JPMorgan Chase&Co. Morgan chase analyst Matthew R.Boss pointed out that the inventory of the VF Corp. group is only 0.6% higher than that of the same period last year, which is ideal.

The group raised its annual revenue target from US $11 billion 850 million to US $12 billion 100 million, and the growth rate of fixed exchange rate rose from 4.5% to 5.5%.

The growth prospects of the international market and the channels directly facing consumers have been raised.

The gross margin forecast also increased by 50 basis points to 50%.

Steve Rendle predicts that the overall market for outdoor clothing will be good in the four quarter and the holiday season.

VF Corp. (NYSE:VF) fell 0.34% on Thursday, 2, at $69.91, which has risen 31% since 2017.

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