ITALY: Benetton family makes EUR276.6m takeover bid
Edizione Srl, the investment firm controlled by the Benetton family, has made a EUR276.6m (US$364.4m) bid to buy all the shares it doesn't already own in Benetton Group SpA and delist the clothing company.
The offer of EUR4.6 (US$6) per share, is 15.6% higher than Tuesday's closing price on the Italian exchange.
Edizione, which already owns a 67.08% stake in Benetton, said in a statement that it believes a delisting would provide Benetton's management with the "flexibility required in the medium to long term to implement the actions necessary to meet the challenges brought about by the changed competitive environment."
It added: "Changing consumption patterns in the markets of the Benetton Group and the pressure on margins resulting from the rising cost of raw materials require a strategy to strengthen the business model on which the history and success of Benetton Group is based.
Earlier this week Benetton issued a full-year profit warning, saying it expects net income to be down by more than 30% on the previous year at EUR70m. It blamed the decline on pressure on margins due to increasing raw material prices. Revenue is seen in-line with last year's at EUR2bn.
While cities such as Milan, Paris, New York and London have historically been seen as the global 'fashion hubs' - acting as meeting spots for high-end designers, fashion shows, luxury retail outlets a...
Italian fashion business Benetton has launched a project to inform consumers about the safety of its children's products....
- Chaos in the world’s trade agreements
- Supply chain improvements to save Billabong $30m
- Yuan devaluation impact mixed for garment firms
- Will Vietnam struggle with impending trade deals?
- TPP trade deal remains elusive but tantalising
- H&M scaling up living wage effort to key suppliers
- Myanmar approves first minimum wage
- EU clothing buyers should brace for higher prices
- Vietnam apparel industry calls for lower wage
- US Q2 in brief: Genesco, Oxford, Sears Canada
- Global Database of the Top 1000 Apparel Producers - Company Names, Financial Performance, and Contact Details
- Myanmar's Garment Sector in 2015 - now with updated members' directory
- Ethiopia – the emerging textile and clothing industry
- Global market review of lingerie - forecasts to 2020
- Global Sports Footwear Market 2015-2019