Second lowering of Permira interest
Permira procured part of Hugo Boss and then parent company
Valentino Fashion Group in 2007: it got hold of 72 percent of shares through
its subsidiary Red & Black.
This was the third step in a longer process: in November 2011 Permira already lowered its
interest in Hugo Boss to 65.56 percent and last year it also sold its interest in Valentino to an
investor from Qatar.
Permira profited from the higher value of Hugo Boss
when it sold its shares: since 2007 the value of of Hugo Boss has doubled. The
transaction happened at a rate of 87.50 euro per share, bringing the total
value of the package to 612.5 million euro.
At the end of last week there
was however a drop of six percent, when disappointing results for the first
quarter of 2013 were announced. Company sales were two percent lower than in
the same period of 2012 at 593 million euro. Especially in Europe and China
sales were struggling.
