Kering to distribute Puma shares to its shareholders

Puma’s free float will increase to around 55 per cent. The contemplated project will enable Kering to reinforce its status as a leading pure player in luxury with an enhanced, best-in-class profitability. The group’s ambition is to continue to grow and develop its powerful ensemble of Houses in couture, leather goods, jewellery and watches, leveraging on its high cash-flow generation and strong financial position.

"Upon completion of the envisaged distribution of Puma shares, Kering shareholders would directly benefit from the value creation potential of a world-leading and iconic sports brand, further enhanced by an increased free float and stock market visibility. With Puma’s unique DNA, heritage of innovation and creativity, the ongoing successful implementation of its 'Forever Faster' transformation plan has started to deliver results. The brand is enjoying strong revenue growth momentum and achieving an improvement in its profitability. Furthermore, Puma’s management team is fully committed to pursue its successful strategy, and continue to deliver the growth and profitability potential of the brand," Kering said in a press release.

"The contemplated distribution of Puma shares to our shareholders would be a significant milestone in the history of the group. Kering would dedicate itself entirely to the development of its luxury houses, whose enduring appeal, built on creative audacity and innovativeness, will allow us to continue to gain market share and create value," François-Henri Pinault, chairman and CEO of Kering, said.

"This operation would enable our shareholders to directly benefit from Puma’s future value creation. We are proud to have supported the turnaround of Puma, which now has unrivalled capabilities to take full advantage of the specific dynamics of its global markets and is poised to achieve substantial growth, led by its talented and passionate management team. We have laid strong foundations for a bright future for Puma. The full support of both Artémis, which would become Puma’s main shareholder, and Kering, as a significant minority shareholder, reflects a strong confidence in the company’s ability to continue to deliver its strategic and financial objectives," explained Pinault. (RR)

Fibre2Fashion News Desk – India