Birkenstock attracts investors with new ordinary shares
## L Catterton, Largest Shareholder of Birkenstock, Reduces Stake by Nearly Ten Percent
Birkenstock's largest shareholder, L Catterton, is reducing its stake in the company by approximately ten percent. The sandal manufacturer is seeking new investors with a fixed price of $54 per share for its common stock.
Approximately eight months after Birkenstock's IPO, the health sandal maker set the price for the accepted second public offer of 14 million common shares at $54 per share. This represents a total volume of $756 million.
Birkenstock will use BK LC Lux MidCo, a company affiliated with L Catterton, as the selling shareholder for the Birkenstock common shares. Goldman Sachs and JPMorgan will place the 14 million Birkenstock shares with institutional investors, according to the company's statement on Monday evening.
The registration statement regarding the offering has reportedly been filed and declared effective with the Securities and Exchange Commission (SEC) in the United States. The closing of the offering is predicted to occur on June 28, 2024, according to the company.
Largest Shareholder Reduces Stake
9.88 million shares come directly from L Catterton, reducing its stake to 73.2 percent from 81 percent. The remaining shares come from Birkenstock's managers and other employees, who, according to the company, will use the proceeds primarily to pay taxes on their employee shares.
Birkenstock CEO Oliver Reichert stated, "This placement, which is based on the positive prospects and strong figures, is an opportunity for the company to broaden its investor base and increase the liquidity in the stock." L Catterton CEO Michael Chu emphasized that the financial investor sees itself as a long-term partner for Birkenstock. "L Catterton remains an important strategic partner for our growth, whose engagement, capabilities, and partnership we greatly value."
The reduction in L Catterton's stake in Birkenstock, amounting to nearly ten percent, might have an impact on share trading activities on Wall Street, as the shift in ownership could potentially influence investor sentiment towards the company. Despite the decrease, L Catterton maintains its commitment to Birkenstock, positioning itself as a long-term partner for the sandal manufacturer's growth.
