Newell Brands To Sell Iconic Winter Sports Brands By Next Year
After Seth Morrison and Andy Mahre were cut from the K2 athlete roster last month, everyone started wondering what was up with K2? Well now we know a little bit more.
On Tuesday, October 4, 2016 Newell Brands, an international consumer goods company, announced that they would sell off 10% of their portfolio by next year. The primary brands up for sale include the winter sports line-up of K2 and Volkl. This includes several brands that are associated with these companies like BCA, Marker, Ride, and a handful of others.
According to a quote from Newell Brands CEO Michael Polk these brands “would be difficult to sell and therefore, we should just shut down because they create no value for you and they are a distraction for us.” (Denver Post). It sounds like they are lacking confidence in the winter sports market, but we were notified that this quote is not entirely accurate.
Newell says they are still committed to their outdoor brands. The brands that are for sale will continue to exist and be available for purchase. The following quote from a Newell Brands Spokesperson sums it up better than we can:
“The decision to pursue a sale of our winter sports businesses (inclusive of Völkl® and K2®) was part of a recently completed strategic review of Newell Brands’ portfolio. We do not plan to shut these businesses down, but rather intend to sell them to a buyer at a full and fair value. We are confident that we will achieve a successful sale of these category-leading businesses to an owner who shares our interest in unlocking their full potential.
Newell Brands has—and will continue to have—a strong Outdoor & Recreation division. We are fully committed to the continued operations of our leading brands in this category, including Coleman®, Contigo®, Marmot® and others, and will be establishing a major hub in Chicago, IL to help grow these businesses. We look forward to Chicago becoming a major talent hub and epicenter of innovation for Newell Brands.”
Change is definitely in the air, but it sounds as if all will continue as it has in the past – just with different owners. This big change-up comes after a $15 billion merger between Jaden Corp and Newell Brands in the spring of 2016. This company also owns brands like Rubbermaid, Lenox, Sharpie, Mr. Coffee, Paper Mate, and other name brands.
No one knows exactly what will happen to K2, Volkl, BCA, and the other winter sports brands that are up for sale. They are among the most recognizable brands in the ski industry and they are also rich with history. It appears that Newell Brands intends to sell them on and they will continue to be the brands that you know and trust.
The big question now is who’s going to buy them? Is this a crowdfunding opportunity?
Updated 10/6: We were notified of inaccuracies/confusions in our original post and have updated the post accordingly.
Read more about the sale of K2 and other ski brands from these sources:
- Denver Post
- Newell Brands Press Release
- Notification Email
#bca #k2sports #volkl #newellbrands