PARIS — Eurazeo SA has sold its remaining stake in Moncler, worth about 4.8 percent of the fashion brand’s capital, after an eight-year investment in the company, the French fund said in a statement on Wednesday.
The sale of 12.2 million shares for 36.5 euros each equals approximately 445 million euros and comes following an accelerated placement through institutional investors. After the transaction, Eurazeo retains no voting rights in the company.
The investment generated proceeds of 1.4 billion euros, a multiple of 4.8, Eurazeo said.
“Our adventure alongside Moncler, which began nearly 10 years ago, and its chairman Remo Ruffini has been fascinating. Since then, we have worked together to create value, develop Moncler’s footprint, open boutiques throughout the world and propose a constantly renewed product offer,” stated Eurazeo chief executive officer Virginie Morgon. “Moncler is a recognized luxury brand today. It has been an honor and a joy to accelerate Moncler’s development.”
Eurazeo and co-investors initially took a 45 percent stake in Moncler in June 2011 at a total valuation of around 930 million euros, before the Italian house launched on the Milan stock exchange in December 2013. Eurazeo has been selling off its stake in Moncler in increments.
The fashion label’s current market capitalization is close to 10 billion euros.
Moncler’s sales have grown in the meantime from 280 million euros in 2010 to 1.42 billion euros last year, while its earnings before tax, interest, depreciation and amortization increased from 91 million euros to 500.2 million euros.
Under Eurazeo, the brand, created in the French Alps in 1952, ramped up its collections of apparel and accessories, expanded its boutique footprint from 60 to 193 doors in addition to 55 stores-in-store, with sales in its own retail network representing more than 75 percent of revenues today, compared with 30 percent in 2011.
International sales make up 85 percent of revenues, versus 57 percent in 2011.
In late February, Moncler announced a 19 percent increase in its 2018 sales and a 33 percent rise in net profits, to 332.4 million euros, as reported.
“Viriginie and Eurazeo have been an integral part of the Moncler family since we began working together with a view to our stock-market introduction,” stated Ruffini. “Eurazeo’s long-term vision, it’s very clear strategic outlook and its international footprint have been extremely valuable.”
Morgon will remain on Moncler’s advisory board, he said.
With a portfolio of roughly 17 billion euros in assets under management at the end of 2018, of which around 61 percent is from third parties, Eurazeo is a shareholder in Farfetch, Vestiaire Collective, Nest Fragrances and Pat McGrath Labs, among others.
Last month, it took a minority stake, valued at $25 million, in fitness retailer Bandier, as reported.