US non-public fairness agency L Catterton will nonetheless maintain the most important slice of the Birkenstock pie.
German sandal maker Birkenstock has introduced that 14 million of its abnormal shares are to be offered in a secondary providing by an entity affiliated with its largest backer.
Within the supply, set to shut on 28 June this 12 months, shares will probably be offered at $54 (€50) a chunk – Birkenstock confirmed on Wednesday.
L Catterton, a US non-public fairness agency supported by French billionaire Bernard Arnault and luxurious items big LVMH, is searching for to scale back its stake in Birkenstock. Its possession will fall from 81.1% to 73.2%.
Hopes for a powerful demand
The sale is predicted to boost $756 million (€707 million), though not one of the proceeds will go to the sandal maker itself, which isn’t promoting any shares within the providing.
If demand is powerful, underwriters managing the deal have additionally been granted an choice to buy simply over two million extra abnormal shares. That is along with the preliminary 14 million.
L Catterton’s transfer to dump inventory comes regardless of optimistic forecasts for Birkenstock.
On the finish of Might, the sandal maker mentioned it anticipated adjusted earnings for 2024 to succeed in as a lot as €545 million, up from a previous max of €530 million.
Hopes for improved income for 2024
The corporate additionally raised its income steering for the approaching 12 months, as much as a attainable excessive of €1.78 billion.
“Our outcomes for the second quarter of 2024 as soon as once more exhibit the energy of our enterprise mannequin and rising demand for our merchandise,” mentioned Oliver Reichert, CEO of Birkenstock, on the latest monetary outcomes.
“Given our engineered distribution mannequin, demand continues to outpace provide in all segments, channels and classes.”
Birkenstock’s share worth has been unsettled for the reason that agency launched its IPO in October final 12 months.
Shares dropped greater than 12% of their market debut on the New York Inventory Change.
