Golden Goose: A Breakdown of the Upcoming 2024 IPO

Golden Goose is an Italian luxury fashion brand that has been making waves in the luxury footwear industry in recent years, and its products have frequently been worn by celebrities such as Taylor Swift and Chris Hemsworth. Earlier in 2024, the news about the company's plans to IPO broke, and barring any unforeseen issues, Golden Goose will become a public company during the summer. Join us as we give some background information on the company and its products, and break down the most important things to know ahead of the company's upcoming IPO.

• Private equity involvement: The company has been owned by private equity firms Carlyle group and Permira.

• Distinctive designs: Golden Goose has a unique design language, with a distressed and worn look incorporated into nearly all products.

• Not just shoes: While the company is most known for its footwear, it has in recent years started to diversify its product catalog.

• Noteworthy IPO: Golden Goose's listing is set to be the largest in Italy in over a year.

Golden Goose was founded in 2000 by the designers and husband and wife duo Alessandro Gallo and Francesca Rinaldo. The company was founded in Venice, Italy, where Rinaldo and Gallo, both without formal training in fashion, decided to create a brand that merged their passion for design and craftsmanship. Their goal was to produce a product that combined traditional Italian craftsmanship with a modern, casual style. This vision materialized in the form of their now-iconic distressed sneakers, which feature scuffs, smudges, and a vintage look that mimics wear and tear.

Golden Goose's initial success was driven largely by word-of-mouth and the distinctiveness of their products. The brand quickly gained popularity among fashion-forward consumers and celebrities, which helped to elevate its profile on a global scale. The brand's sneakers became particularly popular in the United States, where the luxury casual wear market was thriving.

In 2015, the company experienced a significant turning point when it was acquired by the private equity firm, Carlyle Group. This acquisition provided Golden Goose with the financial backing and strategic support needed to expand its operations and reach. Under Carlyle's ownership, Golden Goose opened several flagship stores in major cities around the world, including New York, Paris, and Tokyo. The Carlyle Group entered the picture during a pivotal time for the company, as Golden Goose was in need of both capital and expertise in order to accelerate growth even further. In 2020, the company changed hands again when it was acquired by another private equity firm, Permira, for approximately €1.30 billion. This acquisition came at a time when the brand was continuing its rapid growth, driven by a strong digital presence and an expanding product line that now includes apparel and accessories in addition to its famous sneakers.

Over the last couple of years, the company has flourished financially. We've visualized Golden Goose's revenue and EBIT growth below:

Revenue and EBIT growth for Golden Goose ahead of their 2024 IPO

Revenue and EBIT growth for Golden Goose ahead of their 2024 IPO

The key driver behind the company’s growth throughout the years has been Golden Goose's design language. It has developed a distinctive style that combines a vintage aesthetic with contemporary influences, culminating in a look that is intentionally distressed and worn-in. Unlike many luxury brands that focus on pristine finishes, Golden Goose embraces imperfections as a key element of its design philosophy. The manufacturing process of Golden Goose sneakers is highly detailed and no pair is identical to the next, with each pair being handmade in Italy. Nearly all models feature the company's signature, an embroidered star, as a distinctive part of their design.

Design elements such as the star logo and varied textures contribute to the sneakers' unique appeal. Golden Goose frequently experiments with different color combinations and patterns, making their footwear stand out. This approach allows for a wide range of styles, appealing to those looking for something different from mainstream sneaker designs.

Comfort is another aspect that Golden Goose considers in its designs. The sneakers typically feature cushioned insoles and flexible soles, resulting in a finished product that is both stylish and comfortable to wear. This focus on comfort, combined with the brand's distinctive look, has proven itself to be a recipe for success.

Golden Goose's clothing range encompasses a variety of items for both men and women. Key products include jackets, coats, sweaters, t-shirts, and jeans. These garments are made with high-quality materials and feature unique details such as distressing, patchwork, and hand-painted elements, acting as an extension of the company's sneaker designs.

Golden Goose also offers a selection of accessories that complement its clothing and footwear lines. These accessories include bags, belts, scarves, hats, and gloves. The bags, which range from practical tote bags to stylish crossbody options, are made from premium leather and often showcase the brand's signature star logo. Belts and hats frequently feature distressed finishes and other unique touches that reflect the brand's aesthetic.

In addition to fashion items, Golden Goose has expanded into lifestyle products. This category includes a variety of items such as notebooks, keychains, phone cases, and home decor. These products often exhibit the same design principles as the brand's apparel and accessories, with a focus on high-quality materials and distinctive, artistic details.

While there had been rumors and rumblings during the spring of 2024 about a prospective IPO, the first substantial news came in the last days of May. The company aims to raise roughly €100 million and is expected to go public at a valuation of over €3 billion, making it the largest IPO in Italy in over a year. Golden Goose has stated that the money raised is going to be used to further the company's growth, with a substantial amount of the funds going towards expanding their direct-to-consumer sales channels.

Golden Goose is going to list its shares on the Euronext Milan, Italy’s main stock exchange. There, it will join other domestic luxury brands such as Salvatore Ferragamo, Brunello Cucinelli, and Moncler.

• Further reading: Remo Ruffini and Moncler: Chasing the Peak

• Further reading: The Brunello Cucinelli Story: Combining Elegance and Ethics

At the time of writing this article, a date has yet to be set in stone. But barring any major hiccups, of which there have been no signs yet, the company aims to complete its IPO in June of 2024.

All in all, Golden Goose is quite an interesting company in the luxury industry. It has managed to build a large and very devoted following of consumers, all while creating something wholly unique. An IPO seems like the next logical step for the company, and with a solid plan for the next few years, it seems like Golden Goose is positioned well to continue its growth journey.