Spain’ Cortefiel loses 600 million euros in value

By

Elena Campos Valladares

Published
Dec 14, 2015

Cortefiel’s poor results are taking their toll. The Spanish retailer might be sold for an amount 40% lower than expected, falling from 1.3 billion euros estimated in September to 700 or 800 million euros.

According to Economía Digital, Cortefiel continues to see negative results despite increasing sales. Last year the group recorded a turnover of 1 billion euros, while its debt reached 13 million euros.

Cortefiel’s fashion portfolio includes lingerie label Women’s Secrets and fashion brand Springfield, which posted profits of 4.2 million and 21.7 million euros respectively, while its namesake brand Cortefiel recorded losses of 12 million euros.

The retail group was acquired by CVC, Pai and Permira for 1.4 billion euros in 2005. Each private equity firm owns a third of the company and might be interested in selling its stake, with Permira Advisors, one of Europe’s largest buyout firms, leading the group.