Brunello Cucinelli looking for a different kind of investor

by

Writer

17 April 2012

Italian-based luxury brand Brunello Cucinelli launched its IPO roadshow yesterday in Milan, but it was by no means your typical stock market speech. CEO and head designer, Brunello Cucinelli's opening remarks candidly told propsective investors that profits were not the company's main objective, "“If you are aiming at profits at any cost, don’t turn to us," he opened, "If we decide to send back a defective wool bale and our EBITDA (earnings before interest, taxes, depreciation and amortization) drops, nothing will actually happen to the firm." he stressed, demonstrating that attention to quality is at the forefront. "We can’t focus on one day of slow business and we are not looking for immediate growth. We must grow in a healthy, gentle and graceful way," Cucinelli emphasized.

Currently valued between $405-$465 million euros, Cucinelli is offering 20.4 million shares, or a 30 percent stake in the company (33 percent with the Greenshoe option).

Brunello Cucinelli operates out of the Umbrian town of Solomeo where it prides itself on fostering the talents of Italian artisans and its 'Made in Italy' identity. It focuses mainly on clothing with only 15 percent of its sales coming from accessories - something very rare in a world of Birkin bags and must-have monograms.

Brunello Cucinelli spring/summer 2012
 
Brunello Cucinelli fall/winter 2012-13