The latest European firm to decide to raise capital on the American stock market is the German shoemaker Birkenstock. Which has filed for an IPO in New York.
The well-known shoe company announced its intention to list on the New York Stock Exchange on Tuesday in a filing with the US Securities and Exchange Commission. The listing will be under the ticker symbol “BIRK.” It omitted to include the target share price or the anticipated listing date.
According to unnamed persons with knowledge of the situation cited by The Financial Times on Tuesday, Birkenstock was requesting a valuation of well than $8 billion.
The company’s report, revenue increased 19% from the same period in the fiscal year 2021–22 to the end of March, but net profit decreased by 45%. According to Birkenstock, rising labor and material costs were a result of inflationary pressures.
The family company dates back to 1774, when Johannes Birkenstock, a cobbler in Langen-Bergheim, Germany, is mentioned in church records.
With brothers Christian and Alex Birkenstock holding a minority position, the Birkenstock family sold the majority of the business to L Catterton in 2021, a private equity firm backed by LVMH, the owner of upscale brands including Tiffany & Co. and Dior.
The anticipated IPO will be another significant step for the shoemaker, which will now join the group of prominent European businesses looking to go public abroad rather than domestically. Arm, a British semiconductor inventor, is preparing for a massive Nasdaq IPO this week.
The listings follow an 18-month IPO market decline. Investor interest in riskier assets has decreased as interest rates have increased by the main central banks of the globe to fight inflation. Instacart, a US food delivery company, has also announced plans to list on the Nasdaq soon, though at a steep discount to recent prices.