Birkenstock

Acquired by L Catterton for $4.85 billion

Birkenstock quality declining under L Catterton PE ownership as prices rise

Since L Catterton (LVMH's PE arm) acquired Birkenstock in 2021 and took it public in 2023, consumers report thinner cork footbeds, cheaper-feeling materials, reduced quality control, and significant price increases. Core models now $150-$170+, up substantially from pre-acquisition prices. Classic PE playbook: cut production costs while raising prices to maximize margins for IPO.

Birkenstock prices surged 30-40% under PE ownership ahead of IPO

L Catterton drove aggressive price increases on Birkenstock products after its 2021 acquisition, raising average prices 30-40% to boost revenue numbers ahead of the October 2023 IPO. A brand once known for affordable comfort is now a luxury-priced item.