Background
- German based shoe manufacturer and retailer, ara Group, is strategically reviewing its existing brand portfolio in order to focus on certain core brands
- DC Advisory have been supporting ara Group in this process, resulting in several successful transactions
- Since 1888, LLOYD has been a market leader in the premium footwear sector in the German speaking and Scandinavian countries. LLOYD was acquired by ara Group in 2000
- Founded in 2018, Arklyz is a fast-growing retail group with a focus on sports, athleisure and workwear. Arklyz covers a range vertically connected business activities from manufacturing to end consumer distribution
Process
- ara Group engaged DC Advisory as exclusive sell-side advisor to examine strategic options for LLOYD
- Despite a difficult economic environment in the fashion industry, DC Advisory successfully orchestrated a competitive auction process
- The process included project management, coordination of due diligence workstreams, rendering of financial analyses and marketing materials, providing a focused market approach and advice on all strategic aspects of the transaction while managing consistent dialogue with multiple potential buyers
Outcome
- In January 2024, ara Group signed an agreement to sell 100% of LLOYD to Arklyz. The transaction is expected to close in March 2024 and is subject to customary closing conditions
- Arklyz intends to support LLOYD in its future growth path and to capitalize on a range of strategic synergies
- This transaction demonstrates DC Advisory’s strong track record of providing comprehensive sell-side advice in the fashion industry
“DC Advisory gave us great support throughout the whole process. A very professional and highly dedicated team helped us to find a perfect match on the buyer side."
"We are pleased to have finalized a transaction that has great potential for the future development of LLOYD. It was a great pleasure to work with the ara / LLOYD team and their strong commitment and dedication to this project."
