Levi Strauss Sells Dockers To Authentic Brands For Up To $391M: CEO Says Deal Aligns Company’s Portfolio With Strategic Priorities

Shares of Levi Strauss & Co. (LEVI) rallied over 2% on Tuesday after the company said it would sell its Dockers brand to Authentic Brands Group for up to $391 million.

The transaction, initially valued at $311 million, could reach up to $391 million through an $80 million earn-out opportunity in future years based on the performance of the Dockers business under Authentic’s ownership.

The deal is expected to close on or around July 31, 2025.

Levi Strauss said it intends to return approximately $100 million of the net cash proceeds from the transaction to shareholders through share repurchases.

Levi's CEO Michelle Gass said the Dockers transaction further aligns the company’s portfolio with its strategic priorities, focusing on a direct-to-consumer (DTC) first approach, growing international presence, and investing in opportunities across women’s and denim lifestyle.

Authentic CEO Jamie Salter said Dockers is a natural fit for the Authentic model. “…we see significant potential to build on that legacy and grow the brand across a variety of categories,” Salter said.

Levi Strauss said it will provide certain transition services to Authentic and its partners for Dockers through a limited transition period.

The company commenced the sale process of Dockers during the first quarter (Q1) of 2025. During its first-quarter earnings, the firm indicated that Dockers posted approximately $67 million in net revenue, which was excluded from its continuing operations.

Levi Strauss also maintained its revenue and earnings guidance for 2025, saying it anticipates minimal impact on its second-quarter margin outlook.

Levi's shares gained over 3% in 2025 but have declined over 17% in the past 12 months.

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