Luxury sector boosted by Italian shoe model’s £2.5bn Milan itemizing
An Italian trainer brand sported by pop star Taylor Swift is planning a blockbuster £2.5billion listing in Milan.
Defying the gloom felt across the luxury sector, bosses at Golden Goose hailed a ‘new chapter’ as it targets a bumper float next month.
The market debut follows others that have floated on European stock exchanges this summer, including Charlotte Tilbury owner Puig in Madrid.
Shoppers have been lapping up the company’s footwear, which sell for upwards of £500 in department stores like Harrods and Selfridges.
Annual sales for 2023 were 18 per cent higher than the year before as its signature glittery star shoes flew off the shelves.
IPO: Bosses at Golden Goose, whose trainers have been sported by pop star Taylor Swift (pictured) hailed a ‘new chapter’ as it targets a bumper float next month
This helped to boost profits by 22 per cent to £126.8million.
Consumers have even been buying its range of shoes that look like they are scuffed, covered in mud and falling apart.
One pair of ‘heavily distressed’ trainers has an eye-watering price tag of £485.
Co-founded by husband and wife Alessandro Gallo and Francesca Rinaldo almost 25 years ago, the brand’s fans now include actor Jude Law and model Alessandra Ambrosio as well as Swift.
The founding couple are not involved with running the business and now own a 13th century Venetian-Byzantine hotel.
‘An initial public offering is the natural next step in the success story that started in Venice in 2000,’ chief executive Silvio Campara said.
‘The entrepreneurialism, our people’s passion and drive have grown this company into the thriving business it is today.’
He added: ‘Now, we can open a new chapter in our story to an even broader audience.’
Golden Goose aims to raise £100million from selling new shares, while its private equity owner, Permira, plans to sell an unspecified amount of stock.
Permira, which has its headquarters in London, also owns a stake in bootmaker Dr Martens.
Late last year the private equity firm selected banks to work on the float, which is expected to value Golden Goose at about £2.5billion, including debt.
Permira’s Italy head, Francesco Pascalizi, yesterday said the listing would be a ‘landmark float’ in Milan.
He added: ‘Since our initial investment in 2020, the company has consistently delivered, building on its track record of strong, resilient and profitable growth.’
Consumers have ditched high heels and formal footwear in favour of more casual styles in recent years.
And after the pandemic, trainers became work staples for many people returning to the office.
News of the float came as sandal-maker Birkenstock also impressed investors as it bumped up its sales forecast for 2024 to around £1.5billion.
Sales of its shoes were boosted after they appeared in last summer’s cinema blockbuster Barbie.
But elsewhere in the luxury world, big brands have struggled to retain affluent shoppers amid high interest rates.
Powerhouses including Gucci, LVMH and Britain’s own Burberry have suffered a torrid year so far.
Economic woes in China and the US, which are two of the largest markets for high-end goods, have weighed heavily on the sector.
