Update 3/14/2025: Read more about Kontoor’s push to expand Helly Hansen’s U.S. presence here.
Canadian Tire is selling outdoor and workwear brand Helly Hansen to Kontoor Brands, owner of Wrangler and Lee, as part of its renewed focus on its domestic retail business.
Kontoor will acquire the brand for CAD $1.276 billion, approximately $897 million, according to a press release. As part of the transaction, Canadian Tire Corporation (CTC) will continue to sell Helly Hansen products at its retailers, which include Canadian Tire, SportChek, and Mark’s.
CTC acquired Helly Hansen from the Ontario Teachers’ Pension Fund in 2018 for CAD $985 million. The Norwegian-founded brand is still headquartered in Oslo.
“As our strategy becomes more singularly focused on great Canadian retail, it is time to pass this iconic brand into global hands,” said Greg Hicks, CTC president and CEO, in a statement. “For six years, we have been proud stewards of Helly Hansen, expanding its popularity and foothold into more parts of the world – increasing sales, brand awareness and elevating value in the process. This divestiture unlocks that value for our company and shareholders.”
Helly Hansen’s revenue was CAD $894 million in 2024.
The acquisition will accelerate Kontoor’s revenue, earnings growth, and cash flow profile, according to a news release. It will increase Kontoor’s penetration in the outdoor and workwear categories globally. Kontoor expects Helly Hansen to generate more than $680 million of revenue and $80 million of adjusted EBITDA for full-year 2025.
“Given our global platform and proven track record of operational excellence in owning brands rooted in heritage, quality, authenticity and innovation, Kontoor Brands is uniquely positioned to partner with Helly Hansen management to scale and elevate the business globally,” said Scott Baxter, Kontoor Brands president, CEO, and chairman, in a statement.
Kontoor has a history with outdoor brands via its previous relationship with VF Corp. In May of 2019, VF spun off its jeanswear organization, including the Wrangler and Lee brand, into an independent, publicly traded company called Kontoor. Baxter was on the leadership team of VF before leaving to head up Kontoor.
CTC and Kontoor said employees, customers, and partners will experience a smooth transition. The deal is expected to close in the second quarter of 2025.
“As we shift from brand owner to brand customer, we expect Helly Hansen’s world-class products to remain on our shelves and on the shopping lists of our customers. We are excited to see where Kontoor takes the brand next,” Hicks said. “We thank the Helly Hansen team and leaders for their exceptional work, and for sharing great lessons in sourcing, brand design, and high-performance products with our CTC experts.”
