Christian Dior SE logo

CDI - Christian Dior SE News Story

€591 14.0  2.4%

Last Trade - 16/04/21

Sector
Consumer Cyclicals
Size
Large Cap
Market Cap £92.38bn
Enterprise Value £138.05bn
Revenue £38.69bn
Position in Universe 9th / 847

UPDATE 1-LVMH-backed fund buys majority stake in Birkenstock

Fri 26th February, 2021 12:15pm
(Adds detail)
    BERLIN, Feb 26 (Reuters) - Birkenstock has agreed to sell a
majority stake to LVMH-backed private equity firm L Catterton,
in a deal that brings the maker of comfy, blocky sandals in the
orbit of the French luxury powerhouse.
    The family-owned German company did not disclose financial
details of the deal, which it said would help it to grow in
China and India as well as expand its online business. 
    Sources close to the matter said the transaction values the
company at about 4 billion euros ($4.85 billion).
    Financiere Agache, the family office of French billionaire
and LVMH boss Bernard Arnault, is also taking part in the
purchase alongside L Catterton, the previous investments of
which include Pepe Jeans, online retailer Everlane and workout
gear brand Sweaty Betty.
    "Birkenstock was founded nearly 250 years ago and has grown
to become one of the few iconic brands in the footwear industry.
We truly appreciate brands with this long heritage," Arnault
said in a statement.
    Birkenstock, which traces its roots to 1774 and sells
sandals in 100 countries, said it had a "record year" in 2020
despite the COVID-19 pandemic and is expanding production
capacity in Germany.
    L Catterton was created in 2016 as a joint venture between
consumer-foused private equity firm Catterton, LVMH and Groupe
Arnault, Arnault's family holding company. It now manages 23
billion dollars in assets.
    Louis Vuitton and Christian Dior owner LVMH, the world's
biggest luxury goods group, has been courting younger customers
through collaborations with streetwear labels and tie-ups with
celebrities.
    The maker of Moet Hennessy this week bought a 50% stake in
rap star Jay-Z's Armand de Brignac champagne brand, and though
LVMH last month put its Fenty fashion venture with pop star
Rihanna on hold, L Catterton took a stake in the R&B singer's
lingerie line.
($1 = 0.8247 euros)

 (Reporting by Silvia Aloisi, Riham Alkousaa and Christina Amann
Editing by David Goodman
)
 ((silvia.aloisi@thomsonreuters.com;))
© Stockopedia 2021, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.