Fashion players navigate a new world with contemporary attitudes

Contemporary & Accessible Fashion Spot On

How can fashion players adapt to the seismic shift in the fashion industry provoked by the lockdown? While many companies struggle to find a foothold in the post-COVID-19 market, investors must redefine key performance indicators (KPIs) to spot future stars. Oaklins’ specialist Federico Giammarusto examines the coronavirus emergency’s short- and long-term impact on the sector’s M&A decisions. He analyses the challenges presented by emerging trends and recommends actions to convert these into opportunities.

In the post-COVID-19 years, investors will have to reconsider their existing KPIs, looking beyond financial data. Such indicators might include the company’s ability to move to digital and to communicate strategically, and its flexibility to adapt. FEDERICO GIAMMARUSTO, CONTEMPORARY & ACCESSIBLE FASHION SPECIALIST, OAKLINS

Crises can create new avenues for growth, and we propose questions companies should ask themselves to determine how partnerships or acquisitions could strengthen their market position. And for investors, we identify new indicators that may prove more useful to inform decisions than established financial KPIs.

 

In this edition we spotlight Milan-based contemporary fashion brand Eleventy. Founder and CEO Marco Baldassari explains how private equity fuelled the company’s growth and shares his opinion on future growth drivers in the fashion industry. Eleventy’s team utilized the quarantine period to focus on new initiatives to reinvent the company’s post-crisis modus operandi, and the brand’s emphasis on comfortable, timeless style as opposed to fast-changing fashion trends aligns well with the change in consumption patterns caused by the current pandemic.

In addition we chart recent M&A activity, predicting a shift to restructuring operations, capital increases and convertible bonds, and list public company valuations, which currently reflect consumer confidence rather than financial performance.

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Federico giammarusto
Federico Giammarusto Milan, Italy
Partner
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Our dedicated team in the Italy offers deep industry knowledge leveraging the capabilities of 850 passionate colleagues around the world. By seamlessly collaborating across borders, we use our global strength in sell- and buy-side mergers and acquisitions, debt, growth equity and equity capital markets advisory. Great teamwork and collaboration are the foundation for our success. Because of this we can achieve extraordinary results. That’s lead to our position of leading M&A and financial advisory firm with an extremely high deal flow and many impressive deals.

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