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Lanvin Group reports strong H1 revenue, but lowers valuation ahead of IPO

By Huw Hughes

Oct 18, 2022


Image: Lanvin, Facebook

Luxury fashion group Lanvin has reported a 73 percent increase in revenue in the first half of the year, but has trimmed its valuation ahead of its upcoming IPO.

The group, whose portfolio includes its namesake label as well as Sergio Rossi, Wolford, and St. John Knits, made revenue of 202 million euros in the six months to June 30.

That growth was driven by the Europe and North America markets, which were up 91 percent and 58 percent, respectively.

“Lanvin Group continues to deliver on its strategy, with record first half results and momentum continuing to build across all brands, in all markets and across all sales channels,” said chair and CEO Joann Cheng in a statement.

Lanvin trims valuation

Despite its robust results, the group also announced Monday that it has lowered its valuation ahead of an upcoming flotation on the New York Stock Exchange.

It now expects a valuation of 1 billion dollars, compared to its previous one of 1.25 billion dollars, due to various factors including “the latest currency and stock market environment”.

Lanvin, which is owned by China’s Fosun International, announced its plans for an IPO back in March.

The group plans to become publicly traded via a business combination with Primavera Capital Acquisition Corporation (PCAC), a special purpose acquisition company listed on the New York Stock Exchange.

Looking ahead, Cheng said: “Our outlook for the business remains unchanged and we believe the adjusted valuation establishes a highly compelling entry point for investors as we continue to capture untapped growth opportunities across the world.”

The group also announced that Meritz Securities Co, a subsidiary of South Korea-based financial services conglomerate Meritz Financial Group, has committed 50 million dollars in a private placement, and is considering an additional investment of up to 15 million dollars.

Meritz joins existing shareholders including Fosun International Limited, ITOCHU Corporation, Stella International Limited, Baozun Inc, and Golden A&A.