Birkenstock stumbles, ends down nearly 13% in debut

Klaviyo

11/10/2023 21:24

(Updates stock activity to market close)
    ** German sandal maker Birkenstock Holding  BIRK.N  stumbles
in dim debut on Weds
    ** BIRK opened around 1:30 pm ET at $41.00 and finishes
session at $40.20, 12.6% below $46 IPO price
    ** Stock traded in range of $40.04-$42.51 on roughly 15.6
mln shares of volume. The VWAP (volume-weighted avg price) was
$40.86, per LSEG data
    ** IPO of ~32.3 mln shares priced just below midpoint of
$44-$49 range, for ~$1.5 bln raise
    ** L Catteron, backed by French billionaire Bernard Arnault
and luxury goods giant LVMH  LVMH.PA , to own about 83% of
Birkenstock post-IPO
    ** Arnault purchased $325 mln of IPO through his family
office, Financière Agache, and Durable Capital Partners and
Norway's Norges Bank invested $300 mln combined
    ** Goldman Sachs, J.P. Morgan and Morgan Stanley leading the
IPO
    ** Birkenstock's offering comes after hot starts last month
by marquee firms chip designer Arm Holdings  ARM.O , grocery
delivery app Instacart/Maplebear  CART.O  and marketing
automation firm Klaviyo  KVYO.N . But the sharp pull back in
their stocks dampened expectations for a resurgence of the IPO
market
    ** Shares of ARM, CART and KVYO all fell as well on Weds.
Including moves on the session, ARM and KVYO currently up ~7%
and ~12%, respectively, from their IPO prices, while CART down
~17%

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))