Permira, a private equity firm, has reportedly enlisted the help of three major banks, Deutsche Bank, JPMorgan Chase, and Goldman Sachs, to explore potential options for the sale of Best Secret, a German fashion retail club. If a sale were to take place, the valuation of the club could surpass €4 billion ($4.3 billion). While Permira is considering a potential sale, it is also open to interest from other large financial investors and has not ruled out the possibility of an initial public offering. There has been no comment from representatives of Permira, Deutsche Bank, JPMorgan, or Goldman Sachs regarding this matter.
As market conditions continue to improve and financing becomes more accessible, private equity firms are looking to sell off assets and return cash to investors. This trend has generated renewed optimism and hopes of increased deal activity after a prolonged slowdown of almost two years. In addition to exploring options for Best Secret, Permira is also considering a listing for luxury Italian shoemaker Golden Goose on the Milan stock exchange later this year.
Based in Aschheim, Germany, Best Secret operates as a members-only off-price fashion retailer and offers designer brands through its website and physical stores in Germany and Austria. The company generated revenue of over €1.2 billion last year and achieved an impressive earnings margin before interest, taxes, depreciation, and amortization of 15%. Permira acquired Best Secret’s parent company, Schustermann & Borenstein GmbH, from Ardian in 2016.
For more information on the potential sale of Best Secret, please visit [Link 1] and [Link 2].