Birkenstock store in Berlin, Germany. AFP=Yonhap News
Birkenstock, a famous German sandal brand, has been sold to a private equity firm affiliated with the French Louis Vuitton Moe Hennessy (LVMH) group.
Bloomberg News and others reported on the 26th (local time) that LVMH had acquired Birkenstock by’El Caterton’ and’Pinanciere Agash’, a family investment company of LVMH chairman Bernard Arno and LVMH’s joint venture with an American investment company.
The specific amount has not been disclosed, but a source familiar with the matter told Reuters and others that the acquisition amount reached 4 billion euros (5,456 trillion won).
Earlier, Bloomberg reported that Birkenstock will be sold to CVC Capital Partners, a private equity fund last month, and predicted that the acquisition price could reach a total of 4.8 billion dollars (3.9 billion euros, 5.295.3 billion won).
Chairman Arno said, “Established about 250 years ago, Birkenstock has grown to become one of the few iconic brands in the footwear industry. We will support the growth potential of Birkenstock.
Brothers Christian and Alex, descendants of founder Johan Adam Birkenstock, said, “The Birkenstock family needed a partner to share the strategy and long-term vision for the next 250 years, and we found that partner.”
Birkenstock is a brand founded in 1774 by German shoemaker Johan Adam Birkenstock. Birkenstock, which began selling and making orthopedic shoes, gained fame in 1897 through its unique arched sole and cork manufacturing method tailored to the shape of the sole.
Birkenstock sold a total of 23.8 million pairs of shoes in fiscal year 2019, recording sales of 7221.5 million euros (961.2 billion won).
Reporter Jeong Hye-jeong [email protected]
