VF Corp. is seeking a better workwear balance.
The company, which last year shed its jeans business and moved to Denver, said it is exploring strategic alternatives for a portion of its workwear business, although it plans to continue to hold on to and develop the Dickies and Timberland Pro brands.
VF said the “strategic review” — corporate code for putting the businesses up for sales — was driven by its push to become a “more consumer-minded and retail-centric enterprise, with a portfolio of growth-oriented active, outdoor and work brands.”
The brands up for review primarily play in the business-to-business sphere and are Red Kap, VF Solutions, Bulwark, Workrite, Walls, Terra, Kodiak, Work Authority and Horace Small.
Together, they accounted for about $865 million in revenues last year, roughly half the company’s work sales.
“Driving and optimizing our portfolio continues to be a top strategic priority for VF, and exploring strategic alternatives for our occupational Work brands is the natural next step in that process,” said Steve Rendle, chairman, president and chief executive officer. “Divesting these brands would leave VF with a simplified portfolio of higher-growth, consumer-focused brands, while providing financial flexibility to fuel further strategic initiatives and enhance shareholder value.”
With more than $14 billion in annual sales and centered around The North Face, Vans, Timberland and Dickies brands, VF is one of the most valuable fashion companies on Wall Street with a market capitalization of nearly $38 billion.