Softbank fund to invest in Polish online shoe store eobuwie


The SoftBank Group Corp logo is displayed at the SoftBank World 2017 conference in Tokyo, Japan on July 20, 2017. REUTERS / Issei Kato / File Photo

July 5 (Reuters) – Softbank will invest 500 million zlotys ($ 130 million) in Polish online shoe store eobuwie ahead of its scheduled initial public offering (IPO), its majority shareholder CCC (CCCP.WA) announced on Saturday.

“The agreement will ensure the appropriate level of funding for eobuwie.pl’s business plan, allowing it to accelerate its expansion and strengthen the fundamentals of the business,” CCC said.

It will also strengthen the ownership structure of eobuwie.pl, ahead of its IPO, which is expected in the next 12-24 months, CCC added.

SoftBank Vision Fund 2, part of the Softbank group, will purchase eobuwie bonds, convertible into shares.

The bonds will automatically convert into eobuwie shares in the event of an IPO or a “similar” transaction, the CCC said. The fund may also exercise the conversion to a fixed market valuation of eobuwie zloty 6 billion.

CCC, Poland’s largest shoe retailer, has seen physical sales plummet due to the pandemic and started looking for a minority investor for eobuwie last year as it tried to boost online sales.

Earlier this year he sold a 20% stake in eobuwie to the media and telecommunications company Cyfrowy Polsat (CPS.WA) and A&R Investments Ltd for 1 billion zlotys.

($ 1 = 3.8058 zlotys)

Reporting by Anna Pruchnicka; Editing by Kevin Liffey

Our standards: Thomson Reuters Trust Principles.

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