---
title: "Birkenstock attracts Norwegian Wealth Fund to $1.6-billion IPO"
description: "Birkenstock has set terms for an initial public offering that could raise as much as $1.6-billion, pushing ahead with the latest major test of demand for new listings."
type: "NewsArticle"
publisher: "Daily Maverick"
site: "https://www.dailymaverick.co.za"
section: "Business Maverick"
author: "Bloomberg"
author_url: "https://www.dailymaverick.co.za/author/bloomberg/"
canonical_url: "https://www.dailymaverick.co.za/article/2023-10-02-birkenstock-attracts-norwegian-wealth-fund-to-1-6-billion-ipo/"
published: "2023-10-02T15:41:06"
lang: "en-ZA"
word_count: 320
---

# Birkenstock attracts Norwegian Wealth Fund to $1.6-billion IPO

> Birkenstock has set terms for an initial public offering that could raise as much as $1.6-billion, pushing ahead with the latest major test of demand for new listings.

By Bloomberg · Published 2 October 2023, 17:41 SAST

## Key points
- Despite a recent market retreat, Birkenstock is plowing ahead with its IPO and has attracted the attention of some big-name investors.
- German footwear company Birkenstock plans to offer 10.75 million new shares at $44 to $49 each.
- Private equity firm L Catterton and billionaire Bernard Arnault's family holding company are interested in buying up to $625-million of the stock.
- Proceeds from the offering will be used to repay debt, with the IPO planned for 11 October.
- Klaviyo Inc. and Arm Holdings Plc have seen mixed results in their recent IPOs, while VNG Ltd. delayed its plans due to market demand concerns.

## Content

The German footwear manufacturer is marketing 10.75 million new shares at $44 to $49 apiece, according to a filing on Monday. Its controlling shareholder, private equity firm L Catterton, is offering 21.51 million shares at the same price.

The Norwegian sovereign fund and T. Rowe Price Group Inc. veteran Henry Ellenbogen’s Durable Capital Partners LP have expressed interest in buying as much as $300-million of stock in aggregate, according to the filing. Billionaire LVMH Chairman Bernard Arnault’s family holding company, which has already invested in Birkenstock, may buy as much as $325-million of shares.

Birkenstock plans to use proceeds from the offering to repay debt. Bloomberg News [reported](https://www.bloomberg.com/news/articles/2023-09-26/birkenstock-gears-up-for-roadshow-in-next-test-for-ipo-market) last week that Birkenstock was preparing to kick off its roadshow in the major test of demand for new listings. It’s tentatively planning to price the offering 10 October and start trading on 11 October, people with knowledge of the matter have said.

The company is moving ahead after investor enthusiasm started to wane for some of the blockbuster listings of recent weeks. UK chip designer Arm Holdings Plc and grocery delivery startup Instacart, which both priced their listings at the top of their price ranges or higher, have slipped toward their issue prices or below amid a broader market retreat.

Vietnamese internet startup VNG Ltd. last month delayed its plans for a US listing after being advised to hold off until market demand improves, Bloomberg News has [reported](https://www.bloomberg.com/news/articles/2023-09-22/vietnamese-internet-platform-vng-is-said-to-postpone-us-ipo). Others are still doing well, with marketing and data automation provider Klaviyo Inc. trading well above its IPO price.

Birkenstock’s IPO comes more than two years after L Catterton and Arnault’s family investment company acquired a majority stake in the business at a valuation of about $4-billion.

The offering is being arranged by banks including Goldman Sachs Group Inc., JPMorgan Chase & Co. and Morgan Stanley. Birkenstock plans to list its shares on the New York Stock Exchange under the symbol BIRK.