Home Business Birkenstock opens at $41 a share in IPO debut, nearly 11% below its initial price

Birkenstock opens at $41 a share in IPO debut, nearly 11% below its initial price

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Birkenstock opens at $41 a share in IPO debut, nearly 11% below its initial price

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Birkenstock (BIRK) stepped into the public market on Wednesday.

Shares of the shoemaker debuted at $41 a share on the New York Stock Exchange under the ticker symbol “BIRK.” The company priced shares on Tuesday evening at $46 a share.

The company initially proposed a range of $44 to $49 per share, which set it up to raise roughly $1.48 billion. When combined with ordinary shares outstanding after the completion of the offering, Birkenstock landed an expected valuation of $8.6 billion.

Based on the amount raised, Birkenstock’s IPO is the third biggest US IPO of the year.

In fiscal year 2022, the company brought in 1.24 billion euros and sold 30 million units. It has been growing at an annual rate of 20% from fiscal 2014 to last year.

This is just another chapter for the German footwear brand. Founded in 1774, the company’s origin story began 249 years ago. Yet, its brand has shown staying power to this day.

“Despite this heritage, Birkenstock remains empowered by a youthful energy level, with all the freshness and creative versatility of an inspired Silicon Valley startup,” Reichert wrote ahead of Birkenstock’s IPO. “We have retained the original spirit of our forefathers who laid the foundation of a global business that is more relevant than ever before.”

Now, this centuries-old company is being put to the ultimate test.

“Maybe this is the real test as to whether the IPO market is reopening for real or whether this was a false storm,” Ben Laidler, eToro global markets strategist, told Yahoo Finance over the phone.

This story is breaking and being updated.

Brooke DiPalma is a reporter for Yahoo Finance. Follow her on Twitter at @BrookeDiPalma or email her at [email protected].

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