Supreme Sold to Vans Owner VF Corp For $2.1 Billion Dollars
Supreme, the streetwear giant with 12 stores and a cult following is being bought by the parent company of Vans, Dickies, and other big brands in a deal that valued the apparel and footwear maker at roughly $2.1 billion deal that includes debt. VF Corp., a 121-year-old that loves to connect to the community, announced a transformative deal on Monday to buy the Supreme brand. As a result, the shares of VF Corp rose 10% to $77.24 in premarket trading. According to the Chairman, President, and Chief Executive Officer of VF Corporation, Steve Rendle, that they have the definitive agreement to acquire the iconic, global streetwear Leader Supreme in their press release.
“We are thrilled to welcome Supreme to the VF family and to build on our decades-long relationship as we create value for all of our stakeholders." Steve Rendle said. "VF is the ideal steward to honor the authentic heritage of this cultural lifestyle brand while providing the opportunity to leverage our scale and expertise to enable sustainable long-term growth.”
It added that current investors Carlyle Group and New York-based private equity firm Goode Partners are selling their stakes in Supreme, which was founded by American-British businessman James Jebbia in 1994.
“We are proud to join VF, a world-class company that is home to great brands we’ve worked with for years, including The North Face, Vans, and Timberland." James Jebbia mentioned. "This partnership will maintain our unique culture and independence, while allowing us to grow on the same path we’ve been on since 1994.”
VF Corporation thinks that Supreme can help build $500 million a year in revenues into a billion-dollar business within few years, VF is going to receive a brand that enjoys hypebeasts style among the younger generation of customers. Supreme has also made insane products such as the Clay Brick Red, Crowbar, Fire Extinguisher, and a lot more collaborations from outstanding brands featuring Pat McGrath Lipstick, and expanding its appeal across generations.