JBB
85
Reading between the lines
Jan 25, 2022,02:57 AM
When Kering bought U-N in 2014, sales were around 250M CHF annually. Last year it was 40M CHF.
It was "sold to management"? I would say more like given to them, perhaps with some right to a share of profits for a period of time, so Kering would stop losing money. It's important for big companies to handle a situation like this "graciously" for future acquisitions.
This was not a good acquisition for them. Nor, apparently, GP.
This used to be a superb brand. The team that took them to the big leagues is all gone: Schynder, Oeschlin, and their supporting cast. Kering bet that they could keep the growth going without them. They were wrong. They thought bringing in a new CEO would change the trajectory. They were wrong.
It's a sad day for fans of the brand. I'm one of them (but haven't bought a piece in a long time).