Timberland is proud of its sustainable store design, talking up the eco-conscious retail elements at its San Francisco flagship in the video above.
It isn't just green at heart; it's considerably more green in the wallet, too. That's because it was just sold to the VF Corporation for $43 a share, or a whopping $2 billion.
VF already has such brands as Wrangler, North Face, Jansport, Nautica, Ella Moss, and Vans in its portfolio. The $2 billion deal, announced last week, now has the VF sports group accounting for 50% of the company’s overall sales, the New York Times reports. Forbes adds that the company expects the sports group to account for 60% of the company’s revenue by 2015. “Timberland is expected to notch revenue of $1.6 billion this year, with the majority coming from outside the United States,” the Times notes.
“Timberland is proud of its rich heritage, its track record of success and its reputation as a responsible and environmentally conscious global citizen, all of which will be preserved and enhanced by becoming part of the VF family of brands,” Jeffrey Swartz, chief executive of Timberland, said in a statement. “VF is known for its ability to acquire and grow authentic outdoor brands, while protecting a brand’s unique culture and DNA.”
Of course, VF is figuring it can get more revenue out of Timberland than the outdoor shoemaker has gotten before. VF predicts it can gain a 10% boost over previous Timberland revenues, the Times reports, partially “by growing the international business and women’s footwear.”
It isn’t clear if VF is finished purchasing. The company “has focused on expanding through acquisitions and made up a list of 50 companies that could help the outdoor segment grow about a year ago, said VF CEO Eric Wiseman,” according to Forbes. The list has been “shortened and refined.”
The early outlook on the deal is positive. Timberland this week was judged the best-performing — financially, that is — footwear brand in the US.