Beaverton, Ore.-based Nike Inc. has reached a definitive agreement to sell its Umbro affiliate brand to Iconix Brand Group Inc. (New York) for $225 million.
The transaction is expected to be completed by the end of 2012. Earlier this year, the athletic brand announced its intention to divest of Umbro and Cole Haan to sharpen its focus on driving growth in the Nike, Jordan, Converse and Hurley brands.
“It is a difficult decision to divest any business but this action will enable us to focus on our highest-potential growth opportunities,” says Mark Parker, president and ceo, Nike Inc. “Umbro has a great heritage, but ultimately, as our category strategy has evolved, we believe Nike Football can serve the needs of footballers both on and off the pitch.”