The founding family of Tod’s SpA is teaming up with buyout firm L Catterton in a new attempt to take the company private, with a bid that values the Italian luxury brand at about €1.4 billion ($1.5 billion).
L Catterton, which is backed by French fashion group LVMH, will offer to purchase shares from some investors for €43 apiece, it said in a statement Sunday. The price represents an 18% premium to Friday’s closing price.
Tod’s, known for its leather driving loafers, has been seeking to remain relevant amid a rapidly transforming luxury industry where bigger players are gaining market share. The suitors said taking the company private will allow faster decision-making and give it greater flexibility to pursue growth.
The Della Valle brothers, who currently own a majority of Tod’s, aim to keep a 54% holding after selling a portion to L Catterton, according to Sunday’s statement. L Catterton plans to spend about €512 million to gain a 36% stake, while existing investor LVMH would retain 10% after the deal.
Tod’s shares rose as much as 18% to €42.84 Monday morning in Milan. The stock has lost about two-thirds of its value since peaking in 2013.
Beyond its namesake brand, Tod’s also owns Roger Vivier — a maker of elegant pumps — and casual shoe label Hogan. The bid marks a fresh attempt by the family to delist Tod’s after a previous offer in 2022 failed to get enough shareholder support.
Tod’s Chairman Diego Della Valle said leaving the stock exchange “is the most appropriate strategic choice” and would “provide further benefits to the future development of Tod’s Group, built through continuous investments and challenging goals.”
The deal would deepen Diego Della Valle’s ties with LVMH, where he is a board member. The conglomerate already controls Italian luxury brands such as Bulgari, Fendi and Loro Piana.
JPMorgan Chase & Co. is advising L Catterton on the deal, while the majority shareholders are working with Bank of America Corp.