MILAN — Plans to delist the Tod’s Group have come to a halt.
The luxury group will remain a public company for the time being as the Della Valle family said late Friday that its plan to delist through a merger of Tod’s S.p.A. and DeVa Finance, the latter entirely held by DI.VI. Finanziaria di Diego Della Valle & C., is no longer in the cards.
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“The price of 40 euros per share offered to the market was the result of a careful analysis carried out with correctness and transparency. However, we noted that some of our shareholders believed the value of the Tod’s group to be significantly higher than our valuation and preferred to remain in possession of their shares,” said Diego Della Valle, sole director of DeVa Finance as well as chairman, chief executive officer and controlling shareholder of Tod’s.
As reported in August, the Della Valle family said it was planning to launch a tender offer to delist the group from the Italian Stock Exchange after 22 years. The owners launched a tender offer to acquire 25.55 percent of the company’s shares at 40 euros per share, with the goal to reach a 90 percent stake for a total of more than 338 million euros.
The move was geared at investing in each brand it controls — Tod’s, Roger Vivier, Hogan and Fay — in the medium- and long-term without having to report quarterly results.
However, the public offer in October did not fulfill the 90 percent threshold.
During a conference call with analysts to present figures for the first nine months of the year last month, chief financial officer Emilio Macellari noted that although the family had not made a final decision yet “the transaction is not market-friendly and their attitude is to remain friendly and keep a fair behavior as 54 percent of the market preferred to keep their shares and see what’s next and what kind of value [the Della Valle family could bring to the table].”
In the statement released Friday, Della Valle echoed that sentiment.
“We are taking this message carefully and as an incentive to pursue our plans, which go through the development of the individual brands and their capital enhancement, which we believe have huge growth potential in the medium term,” he said.
As reported, the Italian luxury company posted a 16.4 percent increase in revenues to 724.9 million euros in the first nine months of the year, putting it on track to meet the top-line consensus of a turnover of 974 million to 975 million euros in 2022.
In the 12 months ended Dec. 31, group revenues amounted to 883.8 million euros, up 38.7 percent versus 2020.