Lanvin Group, the luxury fashion company owned by Chinese conglomerate Fosun International Ltd announced on 22nd March its plans to list in New York by merging with Primavera Capital Acquisition Corp. (PCAC), a special purpose acquisition company backed by China-based global investment firm Primavera Capital Group. Under the deal, which values Lanvin Group at US$1.5 billion, the combined entity will raise up to US$544 million to fund its global expansion ambitions.
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Established by Fosun International in 2017, Lanvin Group’s portfolio brands includes the French couture house Lanvin founded in 1889, Italian luxury shoemaker Sergio Rossi, Austrian skinwear specialist Wolford, American womenswear brand St. John Knits, and high-end Italian menswear maker Caruso. With over 390 years of combined history, these five brands have a global presence, operating in more than 80 countries with approximately 1,200 points of sales, 3,600 employees and over 300 retail stores across the world.
PCAC will inject US$414 million cash into the combined entity as part of the IPO proceeds, while Fosun and other investors including Japan’s Itochu Corp. will contribute US$130 million. The proceeds will be used to accelerate Lanvin’s growth and fund future acquisitions, Lanvin said.
Ms. Joann Cheng, Chairman and CEO of Lanvin Group, said: “Today’s announcement marks another milestone in Lanvin Group’s growth journey. We are excited to partner with Primavera for our next chapter of growth across Europe, North America and Asia. In recent years, we have not only invested in prestigious heritage brands but have also created a strategic alliance of industry-leading companies as partners and co-investors in Lanvin Group. Each of these partners is uniquely qualified to help drive growth, enhance the performance of our brands and unlock the full potential of new markets. We plan to accelerate the growth of our portfolio via both organic development and disciplined acquisitions, building a global portfolio of iconic luxury fashion brands that appeal to a broad customer base. Lanvin Group will not only enable these brands to flourish in their home countries, but also in Asia and North America, the largest luxury markets in the world.”
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Mr. Max Chen, Chairman, CEO & CFO of PCAC, and Partner of Primavera, said, “We have been looking to support an emerging leader in the consumer sector with enduring global appeal and significant growth prospects in Asia. In Lanvin Group, we see a unique global business with a rich heritage, an entrepreneurial management team, and a differentiated strategy to build a luxury powerhouse for a new generation of consumers, especially benefiting from surging luxury consumption in Asia. Lanvin Group and Primavera share the same vision of nurturing and reinvigorating world-class luxury brands. We look forward to working together to further develop Lanvin Group’s global platform and drive growth across its brand portfolio.”