Kontoor Brands, Inc. · NYSE:KTB
Kontoor Brands — Merger or Acquisition (May 2026)
10 slides from Kontoor Brands's merger presentation, May 21, 2026
Slide 1: Kontoor Brands Enters Into Definitive Agreement To Sell Lee Business To Authentic Brands Group
Kontoor Brands Enters Into Definitive Agreement To Sell Lee® Business To Authentic Brands Group May 21, 2026
Slide 2: Safe Harbor
Safe Harbor Forward-Looking Statements Certain statements included in this document are "forward-looking statements" within the meaning of the federal securities laws. Forward-looking statements are made based on our expectations and beliefs concerning future events impacting the Company and therefo
Slide 3: Strategic Rationale For the Lee Business Divestiture
Strategic Rationale For the Lee® Business Divestiture Sharpens Portfolio Focus on High-Performing, Strategically Aligned Brands Favorably Shifts Portfolio Towards Higher Growth Categories, Channels, Geographies and Consumers Significantly Increases Capital Allocation Optionality and Financial
Slide 4: Transaction Summary
Transaction Summary Total cash consideration of up to $1 billion, including an initial transaction value of $750 million and a $250 million earnout Transaction Value opportunity, subject to customary closing adjustments ~1x 2026E Revenue at initial transaction value Transaction Multiple ~10x 2026E A
Slide 5: Kontoor Has Deliberately Transformed Its Portfolio…
Kontoor Has Deliberately Transformed Its Portfolio… TSR DRIVE LONG-TERM DRIVERS ACCELERATION Accelerated Revenue and Earnings Growth, and Cash Flow Optionality Dividend, De-leverage of “The Lee transaction is a deliberate step to Balance sheet, and sharpen our portfolio focus, unlock investment Marg
Slide 6: …While Accelerating Growth & Total Shareholder Returns
…While Accelerating Growth & Total Shareholder Returns WHERE WE’VE BEEN WHERE WE’RE GOING Post VF Corp Spin (2019) Post Helly Hansen Acquisition (2025) Post Lee Transaction (2026+) Topline Growth Flat to LSD L/MSD MSD+ Profile Adjusted 46.6% (1) 40.8% (1) 48.4% (2) Gross Margin Project Jeanius Addre
Slide 7: Use of Proceeds & Cost Mitigation to Neutralize EPS Impact Over 12-18 Month Period
Use of Proceeds & Cost Mitigation to Neutralize EPS Impact Over 12-18 Month Period 2026E Adjusted EPS Bridge (1) $6.60 – $6.70 $1.45 (4) $5.70 – $5.80 $5.15 – $5.25 ($0.90) ($0.55) (2) (3) Adj. EPS Including EPS of Discounted Adj. EPS from EPS Impact of Reclass of Adj. EPS from Use of Proceeds & Cos
Slide 8: Kontoor's Enhanced TSR Model
Kontoor’s Enhanced TSR Model ACCELERATING INCREASING LONG-TERM CAPITAL REVENUE & ALLOCATION EARNINGS OPTIONALITY GROWTH = STRONGER TSR ALGORITHM AND = ENHANCED LONG-TERM TSR COMMITMENT SHAREHOLDER VALUE CREATION 8
Slide 9: Slide 9
Slide 10: Appendix: Supplemental Financial Information Reconciliation of Adjusted Gross Margin
Appendix: Supplemental Financial Information Reconciliation of Adjusted Gross Margin for FY2019 and FY2025 (d) Twelve Months Ended December December ($ in millions) 2019 2025 Net revenues - as reported under GAAP $ 2,548.8 $ 3,152.5 (a) Business model changes (25.8) - Adjusted net revenues $ 2,523.0