Fashion

High fashion has golden shot at green revamp

12 October 2021

LVMH has recovered from Covid-19. With a record valuation and lavish cash flows, the $370 bln luxury giant can afford an overdue splurge on axing its carbon footprint. Setting the trend in an industry that accounts for 4% of emissions will also pile pressure on rivals.

Capital Calls: Green investors, ASOS, Renren

11 October 2021

Concise views on global finance: Al Gore’s asset manager finds listed equities can influence a larger chunk of global emissions; the online retailer parts company with its CEO; the startup investor’s $300 mln settlement with aggrieved investors is likely to be an exception.

Capital Calls: NatWest’s guilty-plea logic

7 October 2021

Concise views on global finance: The UK lender could receive a lower money-laundering fine for accepting culpability.

Dutch lingerie sale looks surprisingly chaste

24 September 2021

Sexy-underwear seller Hunkemoller is on the block after a post-pandemic rebound. Owner Carlyle’s digital push is helping it win market share. Yet investors seem more excited by trendy sportswear than saucy lingerie. Capping the price at 1 bln euros looks suitably modest.

Capital Calls: AMC, German pet retailer

8 September 2021

Concise views on global finance: The movie theater chain enjoyed bumper Labor Day attendance; a trio of private equity suitors are circling Zooplus.

Warby Parker proposes float sans Groucho glasses

26 August 2021

In an equity market full of disruptors claiming to change the world, the eyewear seller has a simple pitch: It provides specs more conveniently, for less. Growth is average, executive comp unoriginal, and listing direct to investors. At a $4 bln valuation, it’s easy on the eye.

Federer injects Swiss topspin into On sneaker IPO

24 August 2021

The trainer maker favored by The Rock and First Lady is bypassing Zurich for New York, with a mooted valuation of some $6 bln, a pack-leading 7 times sales. Athleisure wear is a crowded space, but On is growing fast. Like its marathoning clients, it’ll need endurance on its side.

China’s middle-class push has luxury silver lining

23 August 2021

President Xi Jinping’s plans to rein in the super-rich may mean more, not less, conspicuous consumption. With China accounting for 40% of designer demand, LVMH and others are nervous. But wealth reallocation may swell the ranks of bourgeoisie. The luxury selloff looks excessive.

Capital Calls: Salmon, M&S, Sydney airport, BHP

20 August 2021

Concise views on global finance: SalMar places $1.3 bln order for Norway Royal Salmon; the UK retailer’s improving fortunes may ward off predators; the Australian firm provides scant evidence for rejection of a $16 bln takeover bid; Santiago dings the Aussie miner over water use.

Capital Calls: Brookfield, Macquarie

9 August 2021

Concise views on global finance: An insurance wing of the Canadian financial empire may bring a dash of risk to a conservative Texan insurer, while Australian investment bank Macquarie has snapped up a stake in British utility Southern Water.

Capital Calls: GM, Hugo Boss, NYT, Frontier tech

4 August 2021

Concise views on global finance: The U.S. automaker finds inflation cuts both ways; the German-listed fashion brand hopes to double sales by 2025; advertising is a bright spot for the New York Times; Zymergen vaporized 75% of its value under four months after a $3 bln IPO.

Tiffany shine contradicts LVMH deal tantrum

27 July 2021

The French luxury giant’s jewellery division, now including the famed U.S. brand, is more profitable than in 2019. Soaring first-half sales are also at odds with boss Bernard Arnault’s attempts to wriggle out of the deal during the pandemic. Future LVMH targets will take note.

Capital Calls: Volvo, Moderna, Mediobanca

21 July 2021

Concise views on global finance: The Swedish automaker boosts its appeal ahead of a possible IPO by buying out its Chinese joint venture partner; joining the S&P 500 will cut both ways for the vaccine maker; another Italian tycoon ups his stake in the Italian investment bank.

Zegna’s SPAC deal offers discounted path to luxury

19 July 2021

The Italian maker of pricey men’s suits is shedding its stock market aversion to list in New York via a blank-cheque company. At an enterprise value of $3.2 bln, it’s more affordable than most peers. Still, investors have to trust its ability to navigate the shift to casualwear.

Brand IPO hinges on Elvis not leaving the building

7 July 2021

The Brooks Brothers owner is prepping a float with a mooted $10 bln valuation. Its model of scooping up retail roadkill and rights to dead icons like Elvis Presley is thriving, and fresh funds will let it snap up new bankruptcies. The risk is its brands fall out of favour again.

Capital Calls: U.S. jobs, Didi probe, Pharma LBO

2 July 2021

Concise views on global finance: The U.S. added 850,000 jobs in June but the recovery isn't happening everywhere. Meanwhile, Didi is hit with an investigation by a Chinese regulator days after its U.S. listing, and a pharma buyout by EQT and Goldman is a game of hot potato.

Pre-owned watch IPOs ride second-hand wave

30 June 2021

As with fashion, demand for “pre-loved” bling timepieces is booming. That, and a switch to online buying, underpins the mooted $1 billion-plus listing valuations of web players Chronext and Chrono24. For investors, the latter’s breadth of choice makes it more Rolex than Timex.

Capital Calls: Didi IPO, Space SPAC, Travel SPAC

30 June 2021

Concise views on global finance: The Chinese ride-hailing outfit snags an $80 billion valuation early in its New York debut; a blank-check deal for satellite-transport group Momentus cuts its valuation in half; high-end vacation club Inspirato takes subscriptions to a new level.

Burberry CEO steps off catwalk with job unfinished

28 June 2021

Marco Gobbetti is leaving the $13 bln maker of high-end trench coats to join smaller Italian shoe and leather group Ferragamo. His four-year drive to relaunch the British brand is incomplete. It’s a setback for Burberry’s hopes to quickly revive its underperforming share price.

EssiLux has clear view to Dutch deal discount

22 June 2021

The Ray-Ban maker’s target, GrandVision, breached terms of a 7.2 bln euro takeover agreed in 2019. EssilorLuxottica can walk away, but a better option would be to negotiate a lower price. Lopping off 15% would reflect GrandVision’s weaker earnings and lack of alternative buyers.