Birkenstock Shares Fall 11.5% In Wall Street Debut

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Birkenstock Shares Fall 11.5% In Wall Street Debut
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The German sandal-maker’s IPO priced at $46 a share Tuesday afternoon.

Shares of the German sandal-maker fell 11.5 percent to $40.71 in its first few minutes of trading on the New York Stock Exchange on Wednesday afternoon.

Birkenstock — and its chief executive officer Oliver Reichert — are now going to have to get used to having the company’s value fluctuate moment-to-moment with the whims of investors. It turns out this was exactly the market that Birkenstock launched into as luxury stocks were in retreat in Europe on Wednesday after leaderfell 6.5 percent to 686.10 euros while Burberry Group was off 3.2 percent to 17.77 pounds and Brunello Cucinelli slipped 3.2 percent to 71.40 euros.

While this is just the beginning of L Catterton’s monetization of the investment, the deal is on its way to be a good one for the private equity player, which acquired Birkenstock for what was said at the time to be about 4 billion euros in the midst of the pandemic.

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