Clothing

Capital Calls: McKinsey, Celebrity SPACs

10 Mar 2021

Concise views on global finance in the Covid-19 era: McKinsey’s new boss isn’t new enough; the SEC tells investors to be careful of celebrities bearing SPACs.

Corona Capital: Vaccines, Dr. Martens

29 Jan 2021

Concise views on the pandemic’s corporate and financial fallout: Quantity matters with vaccines, while Permira gets an extra kick from the bootmaker.

Burberry is entering the M&A danger zone

20 Jan 2021

The UK maker of fancy trench coats performed worse than most peers during the pandemic. Despite some positive signs, investors are attributing little value to CEO Marco Gobbetti’s turnaround plan. A cheap valuation and lack of dominant shareholders could entice cash-rich peers.

Birkenstock buyout calls for heavy buffing

20 Jan 2021

CVC may buy the maker of strappy sandals worn by Hollywood stars and monks. Private equity has a good history with niche footwear brands, but the German group is already well-run. To justify a mooted 4 bln euro price tag, the new owner would have to target luxury-style margins.

Corona Capital: Satellites, Shoes

15 Jan 2021

Concise views on the pandemic’s corporate and financial fallout: SoftBank pours cash into satellite startup; and footwear winners and losers.

Corona Capital: Inflation, Poshmark

14 Jan 2021

Concise views on the pandemic’s corporate and financial fallout: Breakingviews panel predicts the end of the free-money era; and Poshmark’s IPO looks overdressed.

Casual-chic fad polishes Permira’s Dr. Martens bet

11 Jan 2021

The buyout firm will list the UK bootmaker after a seven-year turnaround. The IPO will also benefit from rising demand for informal wear, as workers stay home. Valued between peer Deckers and Moncler, the punk icon may be worth 3 bln pounds, roughly 10 times Permira’s investment.

Corona Capital: Commercial real estate, IBM

5 Jan 2021

Concise views on the pandemic’s corporate and financial fallout: Commercial office real estate is Zoom’s mirror image; IBM taps former Goldman-exec Gary Cohn.

Stars align for luxury circular economy

23 Dec 2020

The pandemic and a desire to save the planet will prompt shoppers to buy pre-owned apparel. Luxury items’ lasting charm may unlock a $600 bln market for old Gucci, Hermès and other high-end brands. Even manufacturers could get in on the act, marrying financial and ESG goals.

Corona Capital: New York City, Fed/climate change

15 Dec 2020

Concise views on the pandemic’s corporate and financial fallout: New York City’s exodus puts local government in a tight spot; the Fed’s belated move shows a change in Washington.

Corona Capital: Movie releases, Ads, Running

4 Dec 2020

Concise views on the pandemic’s corporate and financial fallout: HBO Max uses its muscle on movie releases; advertising wins some and loses some; Brooks’ beast year.

Philip Green’s retail roulette hits the little guy

1 Dec 2020

The Monaco-based tycoon’s Arcadia empire has collapsed. His decision to pay wife Tina a 1 bln pound dividend took chips off the table, but left the Topshop owner poorly placed for the internet. With pensioners and small suppliers on the hook it’s a stark lesson in moral hazard.

Private equity can sprint ahead in Adidas castoffs

11 Nov 2020

Buyout groups are considering buying Reebok from the German sportswear group, the FT says. Chunky returns are possible despite the brand’s dismal growth. But after a failed turnaround, the maker of Kanye West Yeezy trainers will need to accept much less than the $3.8 bln it paid.

Corona Capital: Salvatore Ferragamo

10 Nov 2020

Concise views on the pandemic’s corporate and financial fallout: Faded heels-and-loafers brand Salvatore Ferragamo could benefit from a coronavirus vaccine-induced return to airport shopping, but the Florentine fashion house would still need a makeover.

VF’s Supreme buy doesn’t need much kick

9 Nov 2020

The Vans owner is paying $2.1 bln to buy the cult-like streetwear brand from Carlyle. Expanding Supreme aggressively risks taking away its scarcity value. But at some 4 times sales, less than Nike’s multiple, VF has baked in room for Supreme’s growth to be no better than basic.

Chinese tech giants take proxy war to New York

3 Nov 2020

Alibaba is jostling for a stake in U.S.-listed online fashion retailer Farfetch. That would put Jack Ma’s behemoth in contention with rivals JD and Tencent, who also have their fingers on the UK firm. Courting such investors will better equip Farfetch in its battle with Amazon.

Corona Capital: Ferrari, E-commerce, Fox

3 Nov 2020

Concise views on the pandemic’s corporate and financial fallout: Ferrari leaves its auto rivals in the dust; Russia’s online marketplace Ozon heads for a New York IPO; and Fox avoids the virus-induced advertising drought.

Review: What can be more premium than luxury?

30 Oct 2020

The next generation of affluent shoppers will spend more on experiences and edgy products, says Erwan Rambourg in “Future Luxe”. That may dim the appeal of classic deluxe products like Gucci bags or Cartier watches. Luxury will be more about what you do than just what you own.

Corona Capital: Greenwich, CT real estate

16 Oct 2020

Concise views on the pandemic’s corporate and financial fallout: Home sales in the swank New York City suburb preferred by bankers have soared while Manhattan apartment sales crater.

Corona Capital: Black Friday, JPMorgan’s new tower

14 Oct 2020

Concise views on the pandemic’s corporate and financial fallout: Walmart’s Black Friday rejig makes for a curious experiment; JPMorgan goes all-in on New York real estate.