US-based speciality retailer Genesco is planning to sell its Lids Sports business, which includes Lids headwear stores, the Locker Room by Lids, and single team clubhouse stores.
The decision to divest Lids Sports was taken by the company’s board of directors, who intend to focus on the development of its footwear business, which retails under Johnston & Murphy, Trask and Dockers, as well as other brands.
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Genesco believes that the sale would enable the company to focus on operating and growing its leading footwear platform to drive long-term shareholder value.
The company’s board is also said to have created a special committee to oversee the sale process of Lids Sports.
Genesco lead independent director and special committee chairman James Bradford said: “The steps announced today reflect the results of an examination by Genesco’s board and management of strategic alternatives with the intent to enhance shareholder value.
“The Lids Sports Group has been an important part of Genesco, and we still see significant potential for the business.
“We believe, however, that it is in the best long-term interests of the company and its shareholders to focus on building upon our core footwear platform, in which the businesses share common strategic characteristics and where we believe we can generate greater operating efficiencies and synergies.”
Based in Nashville, Tennessee, Genesco sells footwear, headwear, sports apparel and accessories in more than 2,725 retail stores and leased departments across the US, Canada, Germany, and UK and Ireland.
