Roots begins strategic review, including exploring sale options

Canadian lifestyle brand Roots, which has more than 100 stores across Canada, has announced it is conducting a strategic review to “identify opportunities to maximise value for all shareholders,” including selling the company.

Known for its ultra-soft premium fleece loungewear and leather goods, Roots has appointed J.P. Morgan Securities Canada Inc. as its financial advisor and Torys LLP as its legal advisor for the strategic review.

“During the strategic review, the board will analyse and evaluate a range of alternatives, including, but not limited to, a sale of the company,” said the Toronto-based company in a statement.

Roots also added that it has dedicated to publicly announce the strategic review as part of its “value-maximisation strategy while continuing to execute its current business plan.”

However, the company did add that it doesn’t intend to disclose developments with respect to the strategic review “unless and until the board has approved a specific transaction or otherwise determines that disclosure is appropriate or required by law.”

The move follows Roots' appointment of Rosie Pouzar as its new chief commercial officer to accelerate its strategy to “unlock new areas of growth”.

Founded in 1973, Roots started from a small cabin in northern Canada and has grown into a global lifestyle brand with more than 100 retail stores in Canada, two stores in the US, and an e-commerce platform, roots.com. It also has over 100 partner-operated stores in Asia, and operates a dedicated Roots-branded storefront on Tmall.com in China.