27 Apr Deckers Brands Announces Review Of Strategic Alternatives
Deckers Brands, the parent of Ugg, Hoka One One, Teva and Sanuk, announced that its board of directors has initiated a process to review a broad range of strategic alternatives. This review process includes an exploration and evaluation of strategic alternatives to enhance stockholder value, which may include a sale or other transaction.
“We have made significant progress in streamlining our cost structure, optimizing our retail store fleet, and realigning our brands, with the goal of improving profitability,” said Dave Powers, President and Chief Executive Officer of Deckers. “The management team continues to remain focused on driving improvements in the business through our recently announced $150 million savings program. We are also continuing to explore additional margin enhancing opportunities and plan to further articulate more details on our upcoming year-end earnings call on May 25, 2017.”
With the Board of Directors and management team focused on enhancing stockholder value and a commitment to pursuing the right course of action for all stockholders, the Board believes now is an appropriate time to explore a broad range of strategic alternatives that may have the potential to unlock further value. While the Board conducts its review, the entire Deckers team remains committed to improving operations and profitability.
Deckers has retained Moelis & Company LLC as its financial advisor and Wilson Sonsini Goodrich & Rosati, Professional Corporation, as its legal counsel to assist in the review process.
In making the announcement, Deckers cautioned that there can be no assurance that the strategic review process will result in a transaction. Deckers has not set a timetable for completion of the review process, and it does not intend to comment further unless a specific transaction is approved by the Board of Directors, the review process is concluded or it is otherwise determined that further disclosure is appropriate or required by law.