Shortly after the company submitted a preliminary reorganization plan to its creditors at the beginning of November, Swedish Footway Group AB has announced that key employees and board members, together with investors, have acquired a significant portion of the company’s shares. The transaction comprises a total of approximately 8.8 million shares, representing about 8.7 percent of the company’s share capital and 10.4 percent of the votes. Northzone, one of Europe’s leading private equity firms, which has backed Footway Group for almost a decade, was the seller in this transaction.
The group, which operates several e-commerce brands, including Footway, Sportamore, Racketnow, Netlens and Caliroots, has been in reconstruction since the summer. The reconstruction plan includes a debt write-down payment of SEK 70 million (€6.0m).
“The sale of our stake in Footway is part of Northzone’s process to close the specific fund in which Footway holds an interest and is a natural step in the lifecycle of that fund as it approaches the end of its fixed term,” said Hans Otterling of Northzone.
Although the transaction involves a significant proportion of the company’s shares, it has no direct impact on Footway Group’s operations, strategic direction or management structure. It is a change of ownership with key employees, board members and new investors demonstrating their confidence in the future of the business and their long-term commitment to Footway Group.
