K2 parent company Newell Brands Inc. has signed an agreement to sell its winter sports businesses, which include other brands Ride, Völkl, Marker, Dalbello, Madshus, Line, Full Tilt, Atlas, Tubbs, BCA, to Kohlberg & Company, L.L.C., a private equity firm specializing in middle-market investing.
The sale of the winter sports division is part of Newell Brands’ ongoing strategy to accelerate growth by simplifying and strengthening its portfolio, according to the announcement.
The news comes less than 18 months after K2 and Ride Snowboards was sold to Newell by Jarden Corp. New owner Kohlberg & Company have many investments, ranging from healthcare and business services, to Bauer— a hockey, lacrosse, baseball/softball equipment manufacturer— and campground operator Thousand Trails.
According to Newell Brands, the company expects gross proceeds from the divestiture to be $240 million, subject to customary working capital and transaction adjustments. Net sales for the divested business were about $330 million during 2016 and annual adjusted EBITDA for the divested business is approximately $25 million.
At the same time, as part of a separate transaction, Newell Brands signed a definitive agreement to sell its Zoot & Squadra apparel brands.
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