Birkenstock Owner to Go Public with $8 Billion Valuation After "Barbie" Movie Boost.
August 01, 2023: Birkenstock, the renowned sandal brand, plans to enter the stock market with an initial public offering (IPO) in September. The IPO could value the company at more than $8 billion. The rise in popularity of Birkenstock’s sandals, primarily due to their appearance in the “Barbie” movie, has contributed to the decision.
Key Takeaways:
Birkenstock is considering an IPO in September, valuing the company at over $8 billion.
The recent “Barbie” movie premiere, featuring actress Margot Robbie wearing Birkenstock sandals, has boosted the brand’s sales and visibility.
L. Catterton, the private equity firm that owns Birkenstock, plans to facilitate the IPO with the help of Goldman Sachs and JPMorgan Chase.
The IPO market has faced challenges recently, but Birkenstock’s potential offering is expected to be one of the most lucrative this year.
The Success of Birkenstock:
Birkenstock, known for its high-quality and fashionable sandals, has experienced a surge in demand, particularly after featuring in the “Barbie” movie. The movie’s scene showcasing Margot Robbie wearing a pair of pink Birkenstock sandals valued at around $160 has further elevated the brand’s appeal.
The IPO Plans:
L. Catterton, the private equity firm currently owning Birkenstock, is preparing for the IPO. The IPO, set to be launched in September, is expected to be one of the most lucrative this year. No specific details regarding the exact date and size of the IPO have been disclosed yet.
Market Challenges:
The IPO market has faced difficulties since last year, with rising interest rates, economic uncertainties, and a bearish stock market leading to fewer new offerings. Compared to the record-breaking 416 IPOs in 2021, there have been just over 150 IPOs since the start of last year. The total proceeds have also significantly decreased, with approximately $19 billion raised compared to $155.8 billion in 2021.
Birkenstock’s Background:
Founded in Germany over 250 years ago, Birkenstock entered the U.S. market in 1966 and has since become an iconic high-fashion brand. The company has collaborated with luxury fashion houses such as Dior, Valentino, and Givenchy.
Actionable Takeaways:
- Monitor IPO Progress: Stay informed about the developments regarding Birkenstock’s IPO, as it could present investment opportunities.
- Consider Brand Collaborations: Watch for companies collaborating with iconic brands like Birkenstock, as such partnerships can elevate sales and market appeal.
- Assess the IPO Market: As the IPO market fluctuates, keep track of overall economic conditions to make informed investment decisions.
