Authentic Brands Group Acquires Dockers from Levi Strauss in Nine-Figure Deal

Dockers Acquisition by Authentic Brands Group and Levi Strauss & Co.

In a significant retail move, Authentic Brands Group and Levi Strauss & Co. have entered into a multimillion-dollar agreement for the former to take over Dockers. The acquisition was formally announced by Authentic Brands Group.

Details of the Dockers Acquisition Deal

The deal involves Authentic purchasing the intellectual property of the well-known khaki and chinos brand that Levi Strauss & Co. pioneered in the 1980s. The sale is valued at an initial $311 million, subject to adjustments and conditions at closing.

Levi Strauss anticipates that the sale could potentially fetch more in the future, around $80 million, based on the performance of Dockers under Authentic’s ownership.

Authentic’s Future Plans for Dockers

Authentic Brands Group sees the acquisition as an opportunity to reimagine Dockers for a new generation. Authentic’s president, Matt Maddox, expressed his commitment to steering the brand into its next era of growth and relevance.

Levi Strauss’s Strategic Move

Levi Strauss CEO, Michelle Gass, said the sale aligns with the company’s direct-to-consumer first approach and international growth strategy. The company is also focusing on its women’s and denim lifestyle opportunities.

The decision to sell off Dockers comes after Levi Strauss indicated it was pursuing “strategic alternatives” for the brand. Gass stated that the move was all about focus, highlighting their intention to amplify their focus on the Levi’s brand and accelerate Beyond Yoga.

Dockers’ New Operating Partner

Authentic Brands Group has chosen Centric Brands to serve as the operating partner for Dockers in the U.S. and Canada, particularly in key categories like workwear, dress shirts, and activewear. Dockers will be joining numerous brands under Authentic’s portfolio, such as Reebok, Juicy Couture, and Sperry.