Sneakersnstuff “sold” for an undisclosed amount
UPDATE:
Even if mentioned earlier, after receiving Erik Fagerlind’s email statement clearly saying that the amounts involved in the Sneakersnstuff recent deal with a Norwegian VC firm are incorrect, we decided to eliminate that info. Please read Erik Fagerlind’s complete statement regarding the deal here.
Original story below:
Sneakersnstuff has been “sold” to FSN Capital, a Norwegian Venture Capital firm for an undisclosed amount. According to Erik Fagerlind, co-founder, and CEO of SNS, the parties involved decided not to reveal the money involved in the transaction.
Founded by Peter Jansson and Erik Fagerlind, Sneakersnstuff established in 1999. What started out as a small store in Sweden has evolved to be one of the most recognized sneaker stores in the world.
In recent years, the store has opened more locations, namely in Paris, London, Berlin and New York. According to some sources, there are plans to open more stores in the US, Asia and also in Europe, namely in Milan and Barcelona.
Even if the company continues to expand their retail locations, the fact is that currently, 80% of their sales come from the online business. SNS is expected to deliver almost 4 million USD in profitability this year, a number considered to be pretty decent in the world of the fastest growing e-commerce companies.
It is also known that Ceder Capital, a venture capital company, has sold their part in the company. Ceder was (up until now) the major owner of SNS, with 28 percent of the share capital.
Business angels David Hedman and Jan Carl Adelswärd own 23 percent per person. The two founders, Erik Fagerlind and Peter Jansson, have 13 percent each.
It is also confirmed that both Peter Jansson and Erik Fagerlind will continue to work operatively in the company. Erik Fagerlind, CEO of Sneakersnstuff, shared his statement about the deal with us:
«We have had VC behind us for years. Now, their term came to an end and as we grow, we need support from a bigger VC firm in order to have stability and maintain SNS as we are growing fast. As the new deal is structured – everyone sold everything to a holding company. And the majority of the ”money” we got from that deal we re-invested in the holding company.
It is more or less exchanging ownership in SNS for ownership in SNS Holding Co. The only one who left is the former VC Ceder Capital. So – we have a new partner, which is FSN. And FSN is rooted in Norway, but in their turn, they are investing money from all over the world. And the value of the transaction is not something that we can currently share», said Fagerlind.
Source: Breakit