Apparel giant PVH Corp has completed the sale of its Speedo North America swimwear business to Pentland Group, parent company of Speedo International, for $170m.
The deal was first announced in January, and proceeds from the transaction will add to PVH’s liquidity position – which now stands now at over $1.3bn in cash and available borrowings.
“The decision to reunite the Speedo business globally allows for the brand’s stewardship by Pentland to be holistic and comprehensive,” says Manny Chirico, chairman and CEO of PVH Corp.
“This transaction aligns with PVH’s goals of optimising our Heritage Brands business in the ever-evolving retail environment and focusing on long-term growth of our global brands Calvin Klein and Tommy Hilfiger.”
Pentland Group, which also owns the Berghaus, Canterbury, Ellesse and SeaVees brands, acquired Speedo in 1991. Directly, and through partnership with licensees like PVH, it has since developed it into the world’s leading performance swimwear brand.
Pentland will now operate the Speedo businesses worldwide.
“The completion of the Speedo North America acquisition, during these uncertain times, demonstrates our long-term commitment to the business and our passion for building a truly global brand,” adds Andy Long, CEO of Pentland Group’s Pentland Brands division.
“This acquisition will allow us to offer our customers a stronger global brand proposition when demand resumes.”