Newell Brands has reached an agreement to sell Pure Fishing and its portfolio of well-known fishing brands to Sycamore Partners, a New York-based private equity firm that has existing holdings in the consumer, distribution and retail fields.
Gross proceeds from the long-rumored Pure Fishing deal are anticipated to be $1.3 billion, according to a press release announcing the transaction. Newell also announced the sale of Jostens – also for approximately $1.3 billion – to a separate private equity firm.
“We are pleased to announce another step forward in our Accelerated Transformation Plan, with the signing of the Pure Fishing and Jostens transactions,” said Michael Polk, Newell Brands President and Chief Executive Officer. “We have full confidence that these businesses will continue to thrive under new ownership, as they leverage their strong positions in the marketplace.”
The Pure Fishing sale ends months of speculation about its fate after Newell acquired it as part of its purchase of Jarden Corp. in 2016, then announced plans to offload several of the former Jarden assets.
The Pure Fishing portfolio includes Abu Garcia, All Star, Berkley, Chub, Fenwick, Greys, Hardy, Hodgman, Johnson, JRC, Mitchell, Penn, Pflueger, Sebile, Shakespeare, SpiderWire, Stren, and Ugly Stik. In 2017, net sales for Pure Fishing were approximately $556 million.
Both transactions are expected to close in the fourth quarter, subject to customary closing conditions, including regulatory approval. J.P. Morgan Securities LLC acted as financial advisor to Newell Brands on the Pure Fishing transaction.
Sycamore has approximately $10 billion in assets under management and its investment portfolio currently includes Belk, Coldwater Creek, CommerceHub, Hot Topic, MGF Sourcing, NBG Home, Staples, Inc., Staples United States Retail, Staples Canada, Talbots, The Limited and Torrid.
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