Supplement maker Weider Nutrition announced that its Haleko business unit has entered into an agreement to sell a substantial part of its assets relating to its Germany-based Venice Beach apparel brand to German firm Hucke.
The deal will see Weider earn $2.2 million in cash for the intellectual property assets relating to Venice Beach.
The sale will allow the company to concentrate on the nutritional supplements category.
The agreement also includes the sale of Venice Beach receivables, inventories and certain fixed assets and the assumption by Hucke of approximately 47 Venice Beach employees, said Weider. The final sales price will be based on a post-closing review of the balances of the respective assets as of April 30, 2003.
Bruce Wood, president and CEO, said Weider is continuing to build its core nutrition brands and improve profitability within business units.
"The sale of Venice Beach assets also enables our Haleko business unit to focus on strengthening its primary Multipower and Multaben nutrition brands," he added.