MILAN, Feb 11 — Italy’s luxury shoemaker Tod’s will delist from the Milan stock exchange and go private under a deal with private equity fund L Catterton, backed by LVMH and owner Bernard Arnault.

Under the terms of deal agreed with the Della Valle family, Tod’s majority shareholder, L Catterton will launch a tender offer to acquire 36 per cent of the company’s share capital at €43 (RM220) per share, for a total of €512.2 million.

That represents a premium of 17.6 per cent over Friday’s closing price.

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Under the deal, the Della Valle family will hold 54 per cent of shares, L Catterton will control 36 per cent and LVMH will retain its current 10 per cent stake, according to a press release issued by Tod’s.

“Exiting the stock market... seems to us to be the most appropriate choice from a strategic point of view”, said Tod’s CEO Diego Della Valle.

A first attempt to delist Tod’s failed in October 2022, when a bid launched by the Della Valle family failed to reach the necessary 90 per cent threshold.

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Owned by the family since its founding in 1978, the Tod’s Group, known for its leather loafers, saw its sales rise by 11.9 per cent to €1.12 billion in 2023.

In addition to Tod’s, the group owns the Hogan and Roger Vivier brands. — AFP