Skip to content Skip to navigation

Kering to Sell Volcom

Print Friendly and PDF
  • File photo courtesy of Volcom

Kering said Thursday that it will sell Volcom as part of its renewed focus on becoming a “pure play” luxury company.

Kering will also pare back its ownership of Puma shares to about 16%. Currently, Kering owns 86% of Puma’s shares.

As far as Volcom’s future, Kering will sell the brand “when the time is right” and a solution is found that is good for both Kering and the brand, Chief Financial Officer Jean-Marc Duplaix said in a call with reporters, according to Bloomberg.

Kering bought Volcom in 2011 for $600 million with the goal of diversifying further into the sport and lifestyle business after its investment in Puma.

Kering’s big growth plans for Volcom never gained traction as Volcom and the action sports marketplace shrank in the subsequent seven years and Volcom underperformed compared to other brands in the Kering luxury portfolio.

OUR SPONSORS

We reached out to Volcom CEO Todd Hymel about this news, but he declined to comment beyond the press release Kering issued about the Puma decision.

The news that Volcom is definitely for sale comes as Boardriders Inc. is attempting to buy Billabong International. 2018 is shaping up to be a year of consolidation and big changes in the industry.

The Puma agreement calls for Kering to distribute to its investors 70% of its shares of Puma. The plan leaves Kering founder Francois Pinault’s holding company Artemis with about 29 percent of Puma shares, and the group will remain a “long-term strategic shareholder,” according to Bloomberg.

Kering shareholders must approve the distribution of Puma shares.

 

OUR SPONSORS

 

More news

Last updated: : 02/22/2018 - 19:45

Details about Billabong's half-year results around the world, including how the Billabong, RVCA and Element brands performed in each region

Last updated: : 02/22/2018 - 14:34

We unpack the results of Volcom's #ThisFirst campaign with Ryan Immegart, including what they learned trying to target new audiences, and marketing stratetgy changes they are making overall given the rapidly evolving landscape

Last updated: : 02/21/2018 - 09:42

Hurley is finally putting more resources into its women's business, and has relaunched the line with a new strategy and new modern aesthetic

Last updated: : 02/20/2018 - 08:34

A talk with Kent Untermann, the owner of the high-volume footwear account Island Sole, about the changing retail landscape and the particular challenges of retail in Hawaii

Last updated: : 02/16/2018 - 09:14

It’s hard to believe that Vans' results could keep getting better, but that’s exactly what happened - we have all the details on their global and regional numbers

Last updated: : 02/15/2018 - 11:14

We asked Global Director of Marketing Danielle McKenzie about the strategy behind the new marketing push and how it will be executed

Last updated: : 02/14/2018 - 15:50

Billabong reveals why staying independent is riskier than selling to Boardriders, including details about larger market conditions and Billabong's own internal challenges

Last updated: : 02/13/2018 - 13:10

A look at Volcom's top and bottom line as parent company Kering looks to sell the brand to focus on its luxury business

Last updated: : 02/12/2018 - 10:06

Friends and colleagues remember Boardriders CEO Pierre Agnes

Last updated: : 02/09/2018 - 12:44

A moving, inspirational and crowded memorial service was held for Boardriders CEO Pierre Agnes Friday morning in his beloved hometown of Capbreton, France