Italy’s Marzotto family have bought Hugo Boss shares worth around €565m (£419m), as private equity firm Permira gradually reduces its stake in the German fashion group.
Permira sold the shares to the family and is selling an additional 10.4% share to the market, taking its total stake in Hugo Boss to below 14%. Permira has been gradually cutting its stake in the business over the last two years, having acquired a majority holding in 2007.
The deal gives the Italian family a direct 7% stake in Hugo Boss, according to Reuters. It comes almost eight years after the family divested its majority holding in the group, along with the Valentino brand, to an investment vehicle which is majority-owned by Permira.
The Marzotto family had an indirect holding in Hugo Boss because it has a minority share in the investment firm Red & Black but multiple share placements have reduced Red & Black’s stake over the years, reported Reuters.
Gaetano Marzotto already sits on Hugo Boss’s supervisory board.
Last week Hugo Boss reported its full year sales came in at the lower end of expectations, with pre-tax profits creeping up by just 1% to €437m (£326m.)