Paneuropean private equity firm Permira sold a 7.7% stake in Hugo Boss (owned through Red&Black Lux sarl) to Italy’s wealthy family Marzotto and Italy’s investment vehicle Tamburi Investment Partners (TIP).
Listed at Frankfurt Stock Exchange, the German fashion group had been acquired by Permira back in 2007 as part of a takeover of Valentino Fashion Group (VFG) which was delisted from the Italian Stock Exchange. Back then VFG was controlled by the Marzotto family who actually entered the shareholders capital of Red&Black Lux following the deal.
Moreover, yesterday Hugo Boss announced that Red&Black Lux started the placement of at least 7.35 million shares of the fashion brand in an accelerated bookbuilding process (see here Hugo Boss’s press release). This represents circa 10.4% of the total share capital. As a result of the two placements, Red&Black will remain with a 14% stake (corresponding to 9,8 million shares) down from previous 32% (corresponding to 22,4 million shares). Red&Black Lux committed to a 90 days lock up period for the remaining stake.
More in detail, TIP bought 490k ordinary share at a price of 102 euros per share for a total value of around 50 million euros (see here TIP’s press release), while Red & Black Lux sold to PFC srl and Zignago Holding spa, two entities of the Marzotto family, a total of 4.9 million shares of Hugo Boss representing a 7% stake for a total value of about 500 million euros.
Mediobanca advised the Marzotto family and structured a 150 million euros financing facility, while legal advisor was Pedersoli & associati law firm The Marzotto family then exchanged their indirect stake in Hugo Boss through the holding company Red&Black with a direct stake in the listed company. The Marzotto family owned a 40% stake in Red&Black Lux.