Clothing

Review: House of Gucci’s broken family capitalism

26 Nov 2021

A sprawling dynasty can lead to corporate disaster. Ridley Scott’s star-studded movie is a kaleidoscopic portrait of the infighting that saw the Gucci family lose control of their namesake brand. Stepping aside at the right time can make all the difference.

Prada’s new look merits fashion league promotion

18 Nov 2021

After years of drift, the $18 bln Italian brand has got a grip on its retail chain, axed discounts and rejuvenated its image. That should help it hit a 4.5 bln euro sales target and double its margins. For investors, the catch-up with snazzier rivals is something worth having.

Capital Calls: Tesla, Daimler

11 Nov 2021

Concise views on global finance: The electric-car maker’s directors have, like Elon Musk, cashed in; the German company is racing against Agnelli-controlled CNH Industrial to spin off a trucks division.

Allbirds upsizes its IPO, downsizes its ideals

3 Nov 2021

A $2.2 bln offering raised more money than the ethical shoe company expected. Its blueprint for a "sustainable" IPO got diluted, though - and a pledge to pick banks on ESG credentials vanished. Even a red-hot brand can only push Wall Street's underwriting oligopoly so far.

Rent the Runway models two clashing looks

26 Oct 2021

The clothing-rental company is pitching a way to lessen the load on its balance sheet as it plans to go public. It’s trying to share the risk of wear and tear of dresses and coats with designers. If it can be less Avis, more Airbnb, its $1.3 bln valuation could be a good fit.

Capital Calls: Spanx’s “velvet ghetto”

20 Oct 2021

Concise views on global finance: Blackstone’s investment in the undergarments company was closed by an all-woman team. That’s progress, but not the best kind.

Burberry’s new boss revives upmarket hopes

20 Oct 2021

The UK maker of chic trench coats poached Versace boss Jonathan Akeroyd to be its next CEO. He pushed up the Italian brand’s sales by focusing on high-margin products. Burberry is eager for a similar luxury glow. Yet the $10 bln group’s scale makes it a much bigger challenge.

Time to end Richemont’s online fashion drag

18 Oct 2021

The Cartier owner may sell its e-commerce business YNAP just three years after taking it over. A deal with Farfetch or other rivals might reap at most 3.6 bln euros. Yet, by cutting exposure to a lossmaking unit, boss Johann Rupert would smarten up his company’s dowdy valuation.

High fashion has golden shot at green revamp

12 Oct 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 Oct 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 Oct 2021

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

Federer’s sneaker IPO sets blistering pace

16 Sep 2021

Shares of On, backed by the tennis legend, soared 50% on debut, valuing the running-shoe maker at $11 bln. Rapid sales growth supports the steep valuation. But On has plenty of rivals, and its early success in China may fall foul of Beijing’s hostility to foreign brands.

Capital Calls: AMC, German pet retailer

8 Sep 2021

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

Capital Calls: Brookfield, Macquarie

9 Aug 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 Aug 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 Jul 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 Jul 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 Jul 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 Jul 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 Jul 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.