HSG said to close in on deal to buy sneaker maker Golden Goose

HSG, formerly known as Sequoia Capital China, is nearing a deal to buy premium sneaker maker Golden Goose in a transaction valuing the Italian company at more than 2.5 billion euros ($2.9 billion), according to people familiar with the matter. The talks between HSG and Permira, the private equity owner of Golden Goose, could conclude as soon as the end of this year, the people said, asking not to be identified because the information is private. Deliberations are ongoing and could still be delayed or fall apart, the people said. Representatives for Golden Goose and Permira declined to comment, while a representative for HSG didn’t immediately respond to a request for comment. Asian appetite The potential deal shows investors continue to be interested in European brands despite challenging times for the luxury industry. In July, Singapore’s state-owned Temasek Holdings doubled its stake in Italian fashion house Ermenegildo Zegna to 10%, while Saudi Arabia’s Public Investment Fund bought nearly half of Rocco Forte Hotels in late 2023. For Permira, the sale would provide an offramp after a failed attempt to take Golden Goose public. The London-based private equity firm bought the shoemaker for 1.3 billion euros ($1.5 billion) in 2020, then halted a planned Milan listing for the luxury brand in 2024, amid declining equity markets in Europe. Corriere della Sera reported last month that Permira and HSG were in talks for a deal valuing Golden Goose at 2.5 billion euros ($2.9 billion) or more. The brand, founded near Venice and known for its distressed sneakers that can sell for more than 500 euros ($580) a pair, has continued growing amid a global luxury slump. Revenue rose 13% in 2024 to about 655 million euros ($760 million). Golden Goose directly operates 227 stores in the Americas, Europe, the Middle East and Asia-Pacific as of the end of September. Strategic stake At the start of this year, Hong Kong-based Blue Pool Capital, an investment firm started by Joe Tsai, the Alibaba Group Holding chairman and co-founder, took a 12% stake in Golden Goose with an aim to help “further expand” the brand’s reach. HSG invests globally across technology, health care and consumer sectors, and has been building a European presence, including opening a London office, as it targets later-stage and buyout deals. By Flavia Rotondi, Daniele Lepido and Dong Cao

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HSG said to close in on deal to buy sneaker maker Golden Goose