Groupe Bruxelles Lambert, one of the biggest investment companies in Europe and the largest shareholder in Adidas, has been selected as the majority shareholder for Canyon.
We reported on Canyon's search for a new investor
in October and, despite attention from Carlyle Group and KKR & Co, along with buyout firms Advent International, Apax Partners, General Atlantic and Permira, GBL was today announced as the partner. We reported at the time the sale was expected to bring in up to 500 million euros ($592 million) for Canyon but no final figure has been disclosed following the release earlier today. The Financial Times reports
that GBL did not offer the highest bid but Roman Arnold
, the founder of the brand, chose GBL based on its "long-term investment perspective".
In the past seven years, the average growth of the German direct-sales business has been at 25 percent and in 2020, sales topped 400 million euros for the first time. Canyon says it expects the new partnership to, "accelerate the high level of innovation, expertise, technology leadership and customer service proposition" of the company while also placing a focus on "future sustainable mobility concepts".
As part of the transaction, Tony Fadell will also co-invest alongside GBL and be a member of the Advisory Board. Tony was the SVP of Apple’s iPod Division and led the teams that created the iPod and the iPhone. Arnold is to remain the largest individual shareholder of the brand with 40 percent while TSG Consumer Partners has exited its minority stake in Canyon
Robert W. Baird & Co. Incorporated (Baird) investment bank acted as an exclusive financial advisor to Canyon in the investor search. The transactions are expected to be completed during the first quarter of 2021, once the necessary regulatory approvals have been obtained.