PAC BRANDS SELLS SHOE BRANDS

Pacific Brands has sold a variety of its shoe and clothing brands, including Volley, to various buyers for $39 million.
Private equity firm Anchorage Capital Partners has bought Volley, Hush Puppies and Clarks, while UK company that owns the brands outside of NZ and Australia has bought Dunlop and Slazenger.
A loss of $30 million is said to be incurred to Pacific Brands. The sale of these brands is a bid to increase focus on leading brands Bonds and Sheridan.
“While this has been a complicated divestment to execute, the transactions are all unconditional and should be completed within two weeks with minimal disruption to customers and our core business,” said CEO, David Bortolussi.
“From a pricing perspective, the divestment represents good value to our shareholders for an unprofitable division.”
Pacific Brands will consider further investment in its remaining brands, stores and distribution to build shareholder value.

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