SCOTTS VALLEY, Calif. (BRAIN) — BRG Sports Inc. has agreed to sell its Easton cycling business to Chris Tutton, an industry veteran who owns Race Face Performance Products and is a former Easton OEM sales manager.
The Easton cycling division has been an underperformer recently for BRG — known until recently as Easton-Bell Sports. The company recently sold its Easton-branded softball and baseball business to Bauer Sports and has plans to sell off its last remaining Easton-branded business, its hockey division.
The terms of the deal were not disclosed and it is expected to be completed in the next 60 days.
"We are very pleased that the Easton Cycling unit will be under the leadership of an accomplished industry veteran and business professional like Chris," BRG Sports executive chairman and CEO Terry Lee said in a press release. "We have enjoyed a long-standing relationship with him both in business and in our shared passions for cycling, and when he put forth an attractive offer, we felt the timing was right to proceed with a deal. We are confident that Chris and his team are the best candidates to create a bright future for the Easton Cycling brand."
Tutton joined Easton-Bell Sports in 2008 as OE sales manager; he became the principal shareholder in Race Face in 2011, retaining his Easton-Bell position.
BRAIN plans to speak to Lee later Monday.
BRG's main brands now are Bell, Riddell, Giro and Blackburn.
Tutton said he was excited to "renew the entrepreneurial roots of the brand and refocus on technology, quality and service."
According to a Race Face statement, the two brands will "continue to operate as separate entities." However, the statement said the brands would have a shared cost agreement to reduce overhead.
Tutton plans to build an R&D service center in California that will house wheel service, wheel testing and the Easton engineering team. The recently launched Race Face wheel program will also be developed and serviced from this facility.
Easton's marketing, global sales and customer service departments will be relocated to the Race Face headquarters near Vancouver, British Columbia.
"The team at Race Face is very excited to welcome Easton to the RF family," said Tutton. "The core competencies of both companies will help to strengthen and expand both business units. There are also undeniable synergies in sales and distribution to be realized worldwide as well as wins with offshore vendor production networks currently in place."