Delta Apparel receives purchase offer for Salt Life business
Delta Apparel, Inc. said on Monday it has received an unsolicited offer to purchase its Salt Life business unit. Financial details of the offer or information on who made the offer were not not disclosed.
The Duluth, Georgia-based company said there can be no assurances as to the timing, terms or structure of any potential transaction or that a transaction will consummate. Any decision with respect to a potential transaction or other strategic alternative remains subject to approval by the Delta Apparel board of directors.
The company said its board of directors has engaged Baird as a financial advisor, following the proposal.
“Our board of directors and management team are committed to maximizing value for Delta Apparel shareholders, and we believe it is in their best interests to conduct a thorough review of strategic options for our Salt Life business given the widespread interest in it,” said Bob Humphreys, chairman and chief executive officer.
“The Salt Life team has done an excellent job in taking what was essentially a small regional brand with a primarily wholesale business when we acquired it in 2013 and growing it into a highly profitable business with over $60 million in revenue, a consumer base stretching across the United States and internationally, and a variety of new go-to-market strategies, product categories and revenue channels.”
Founded in 2003 by four watermen from Jacksonville Beach, Florida, Salt Life is a beach-inspired apparel brand that has grown to boast nationwide distribution and coast-to-coast retail stores.
Today, Salt Life products are offered in over 1,700 wholesale doors across 48 states and direct-to-consumer via an e-commerce site as well as 25 branded retail stores spanning the U.S. coastline from California to Florida to New York.
