As U.S. equity markets continue to show resilience, globally acclaimed German sandal brand, Birkenstock, has announced its move towards an initial public offering in the United States. This bold stride comes as one of the notable European entries seeking a listing on foreign turf this year.
Birkenstock, celebrated not just for its iconic footwear but as a lifestyle embodiment, is backed by private equity firm L Catterton. Their recent filing with the Securities and Exchange Commission (SEC) has stirred the financial waters. Though the exact financial metrics of this offering remain under wraps, it’s evident from their recent disclosures that the company saw a net revenue growth of 19% to €644.17 million ($692.87 million) in the six months ending March 31. However, profits did witness a dip, falling 45.3% to €40.21 million euros.
CEO Oliver Reichert aptly described the brand’s ethos in a letter accompanying the registration statement, “Birkenstock is more than a shoe. It’s a mindset, a lifestyle.” He reminisced about his early days with the company in 2009, praising its robust heritage, uncompromising commitment to craftsmanship, and an undying focus on quality. With its valuation potentially hitting the $8 billion mark, Birkenstock’s foray into the stock market comes with a significant buzz.
Interestingly, this move isn’t the only buzz surrounding Birkenstock. A recent promotional surge for the film “Barbie”, featuring Margot Robbie sporting pink Birkenstocks, has further catapulted the brand into the limelight, rekindling its popularity among the fashion elite.
As Birkenstock unveils its financial cards for the first time, with sales clocking in at €1.2 billion EUR last year and a compounded growth rate of 42% between 2018 and 2022, market analysts keenly watch. The specifics of shares and pricing details remain the industry’s coveted secret, fueling anticipation among investors and aficionados alike.