S&P 500
7,507.80
-0.22%
Dow Jones
51,595.40
-0.32%
Nasdaq 100
30,411.80
-0.23%
Russell 2000
2,975.48
-0.09%
FTSE 100
10,384.80
-0.34%
Nikkei 225
71,987.20
+0.02%

Companies and Brands

Nike Tightens Brand Image with Sale of Cole Haan

Photo of Paul Ausick
By Paul Ausick Published
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Wikimedia Commons
Athletic footwear maker Nike Inc. (NYSE: NKE) today announced that it is selling its Cole Haan brand to private equity firm Apax Partners for $570 million. The company expects the transaction to be completed early in 2013.

Nike’s CEO said:

The decision to divest of Cole Haan allows us to sharpen our focus on opportunities with the highest potential for strong returns, and to make sure the brands within the NIKE, Inc. portfolio are the most complementary to the NIKE Brand.

This is the company’s second major divestiture in the last month. In late October Nike sold its Umbro brand to Iconix Brand Group for $225 million.

Nike is streamlining its brands in an effort to concentrate its marketing dollars on the brands that produce the highest returns. The stock has performed poorly for the past 12 months, down more than 1% and basically stagnant over the past two years.

The company also announced a two-for-one stock split yesterday and raised its dividend by 17% as it tries to keep investors on board.

Shares are trading up about 1.6% today, at $92.39 in a 52-week range of $85.10 to $114.81.

Paul Ausick

DISCLOSURE:
INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUE Brokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org). Advisory services are offered by SoFi Wealth LLC, an SEC-registered investment adviser. Information about SoFi Wealth’s advisory operations, services, and fees is set forth in SoFi Wealth’s current Form ADV Part 2 (Brochure), a copy of which is available upon request and at www.adviserinfo.sec.gov. Probability of Member receiving $1,000 is a probability of 0.026%; If you don’t make a selection in 30 days, you’ll no longer qualify for the promo. Customer must fund their account with a minimum of $50.00 to qualify. Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees. Investing in alternative investments and/or strategies may not be suitable for all investors and involves unique risks, including the risk of loss. An investor should consider their individual circumstances and any investment information, such as a prospectus, prior to investing. Interval Funds are illiquid instruments, the ability to trade on your timeline may be restricted. Brokerage and Active investing products offered through SoFi Securities LLC, Member FINRA(www.finra.org) /SIPC(www.sipc.org). There are limitations with fractional shares to consider before investing. During market hours fractional share orders are transmitted immediately in the order received. There may be system delays from receipt of your order until execution and market conditions may adversely impact execution prices. Outside of market hours orders are received on a not held basis and will be aggregated for each security then executed in the morning trade window of the next business day at market open. Share will be delivered at an average price received for executing the securities through a single batched order. Fractional shares may not be transferred to another firm. Fractional shares will be sold when a transfer or closure request is initiated. Please consider that selling securities is a taxable event. Options involve risks, including substantial risk of loss and the possibility an investor may lose the entire investment Before trading options please review the Characteristics and Risks of Standardized Options  Investing in an Initial Public Offering (IPO) involves substantial risk, including the risk of loss. Further, there are a variety of risk factors to consider when investing in an IPO, including but not limited to, unproven management, significant debt, and lack of operating history. For a comprehensive discussion of these risks please refer to SoFi Securities’ IPO Risk Disclosure Statement This should not be considered a recommendation to participate in IPOs and investors should carefully read the offering prospectus to determine whether an offering is consistent with their investment objectives, risk tolerance, and financial situation. New offerings generally have high demand and there are a limited number of shares available for distribution to participants. Many customers may not be allocated shares and share allocations may be significantly smaller than the shares requested in the customer’s initial offer (Indication of Interest). For more information on the allocation process please visit IPO Allocation.
Follow 24/7 Wall St. on Google
Photo of Paul Ausick
About the Author Paul Ausick →

Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.

He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.

Continue Reading

Douglas A. McIntyre |

Nike & CBS Look to Tiger Woods (CBS, NKE)

If all goes smoothly, the future of Tiger Woods and the media may finally be back to him being the…

NKE vs. SBUX: The Best Beaten-Down Consumer Discretionary Stock to Buy Now
Chris MacDonald |

NKE vs. SBUX: The Best Beaten-Down Consumer Discretionary Stock to Buy Now

Consumer discretionary stocks are representative of companies in a wide range of industries and sectors that sell non-essential goods and…

Paul Ausick |

The 4 Stocks That Tanked the Market

thinkstockJune 3, 2014: Markets opened slightly lower on Tuesday and never really recovered. Trading was moderate again today and the…

Earnings Previews: Constellation Brands, Nike
Paul Ausick |

Earnings Previews: Constellation Brands, Nike

A purveyor of beer, wine and spirits, along with a Dow Jones industrial consumer cyclical products maker are on deck…

As Under Armour Collapses, Steph Curry Won’t Help
Paul Ausick |

As Under Armour Collapses, Steph Curry Won’t Help

Sports gear maker Under Armour has launched a new sportswear brand with NBA star Steph Curry. Will it make a…

Gymboree Latest Retailer to Go Bankrupt
Douglas A. McIntyre |

Gymboree Latest Retailer to Go Bankrupt

Children's clothing company Gymboree will follow several other retailers into Chapter 11. The company is expected to liquidate all 800…

Why Financial Worries May Be Holding Down Nike Stock
Chris Lange |

Why Financial Worries May Be Holding Down Nike Stock

Nike Inc. stock has proven to be fairly resilient considering the market downturn from the coronavirus pandemic. Its stock has…

Can Nike Replace Maria Sharapova?
Chris Lange |

Can Nike Replace Maria Sharapova?

Nike has suspended its ties with Russian tennis star Maria Sharapova after she announced a failed drug test at the…

Lee Jackson |

UBS Makes Changes to Its Equity Focus List

UBS has updated the stocks within its highly regarded Equity Focus List that have been working the best for investors…

Top Gaining Stocks

CarMax
KMX • Vol: 7,330,419
Corning
GLW • Vol: 22,800,969
Intel
INTC • Vol: 233,719,006
Super Micro Computer
SMCI • Vol: 68,465,534
Enphase Energy
ENPH • Vol: 13,978,376

Top Losing Stocks

Accenture
ACN • Vol: 41,744,333
EPAM Systems
EPAM • Vol: 5,636,587
Cognizant
CTSH • Vol: 61,311,400
Coterra Energy
CTRA • Vol: 73,319,495
Kroger
KR • Vol: 26,704,230