China-based conglomerate Fosun Industrial Holdings is set to acquire a €33m (£29.4m) controlling stake in luxury Austrian lingerie business Wolford AG.
It is buying a 50.9% majority stake in the business, best known for its lingerie and legwear, acquiring 2,543,694 shares from Wolford’s main shareholders at €12.80 (£11.40) per share.
It will also provide up to €22m (£19.6m) as part of a fresh capital increase.
Wolford CEO Axel Dreher said: ”We welcome the entry of a financially strong core shareholder which is experienced in the luxury sector and will enhance our access to Asian markets. This confirms the reputation of our brand and its growth opportunities.”
Brigitte Kurz, CFO of Wolford, added: ”The capital increase will strengthen our long-term capital base and our liquidity. This enables us to accelerate the development of our promising online business and the redesigning of our market appearance.”
Fosun has invested in several fashion and luxury brands including German fashion brand Tom Tailor, Greek jewellery company Folli Follie and French luxury label Lanvin, with the transaction for the latter yet to be completed.