Home / Business and Economy / Lands' End Seals $300M JV Deal With WHP Global
Lands' End Seals $300M JV Deal With WHP Global
28 Jan
Summary
- Lands' End received $300 million in cash from the joint venture.
- Guaranteed minimum annual royalty payments start at $50 million.
- WHP Global will also offer to buy up to $100 million in shares.
Lands' End has entered into a significant joint venture with WHP Global, a brand management and acquisition company, in a deal valued at $300 million. This strategic alliance provides Lands' End with substantial cash infusion and guarantees minimum annual royalty payments, commencing at $50 million.
As part of the agreement, Lands' End will contribute all its intellectual property to the joint venture. Furthermore, WHP Global has extended an offer to acquire up to $100 million of Lands' End shares at $45 per share.
The proceeds from this transaction are earmarked for debt repayment and the overall strengthening of Lands' End's balance sheet. WHP Global will spearhead the global licensing strategy and brand expansion efforts, leveraging its expertise to enhance category growth and partner selection.
