Clothing firm Nautica Enterprises Inc on Monday said private investor group Barington had dropped plans to oust two of its directors after the world's largest apparel maker VF Corp agreed a $586 million takeover deal.

The New York-based firm said in a statement Barington Group, which holds 3.1 per cent of its outstanding shares, withdrew its proxy solicitation to attempt to unseat Charles Scherer and John Varvatos.

Nautica chairman, president and CEO, Harvey Sanders, said: "We believe the transaction with VF will deliver significant value to our shareholders and look forward to completing the merger as quickly as possible."