Kontoor Brands to sell Lee business to Authentic Brands Group for up to $1B

Kontoor Brands (KTB) announced it has signed a definitive agreement to sell the Lee business to Authentic Brands Group for up to $1B, including an initial transaction value of $750M and a $250M earnout opportunity in future years based on the performance of Lee under Authentic’s ownership. The transaction is subject to required regulatory approvals and customary closing conditions. The transaction was unanimously approved by the Board of Directors of Kontoor. The transaction is expected to close in the second half of 2026, subject to the receipt of required regulatory approvals and customary closing conditions.