Inside information: Stockmann commences a strategic assessment; considers changing the Group’s name to Lindex Group and investigates strategic alternatives for the Department Stores business
STOCKMANN plc, Inside Information 25.9.2023 at 8:30 EEST
Inside information: Stockmann commences a strategic assessment; considers changing the Group’s name to Lindex Group and investigates strategic alternatives for the Department Stores business
Stockmann plc’s Board of Directors has today decided to initiate a strategic assessment to crystallise shareholder value by refocusing the Group's business on Lindex. As part of the strategic assessment, Stockmann plc is considering a name change to Lindex Group and will investigate strategic alternatives for the Stockmann Department Stores business.
The possible name change would better reflect Lindex division’s role in the Group’s business. In 2022, with revenues of EUR 661 million, Lindex represented over two thirds of Stockmann Group’s revenues and, with an operating profit of EUR 90 million, Lindex was the main profit contributor within the Stockmann Group. This possible name change would not impact the Stockmann Department Stores, which would continue to operate under the Stockmann brand.
As part of the investigation of strategic alternatives for Stockmann’s Department Stores business, the company will evaluate the best environment for developing the business in the future. These options will include increasing the business’ independence within the Group, considering possible ownership changes or strategic partnerships, or continuing under the current structure. The strategic assessment will not have any immediate impact on the Stockmann Department Stores’ brand or its daily business operations, which will continue with full commitment in their ordinary course.
“Lindex has had a fundamental role in improving the performance of the Group over the years. The launch of the strategic assessment of considering a name change and evaluating strategic alternatives for the Department Stores business is a natural next step in our strategy and reflects Lindex’s growing importance within the Group,” says Sari Pohjonen, Chair of Stockmann’s Board of Directors. “The strategic assessment will not impact the Stockmann Department Stores iconic brand or daily business,” Pohjonen emphasises.
Decisions relating to a possible proposal on a name change, which would ultimately be subject to a decision by Stockmann plc's general meeting, will be made at a later date. Stockmann expects the strategic assessment to be finalised during 2024. Stockmann will provide an update on the strategic assessment if, and when, appropriate.
Further information:
Investor Relations, via Stockmann Group’s media desk tel. +358 50 389 0011 or investor.relations@stockmann.com
STOCKMANN plc
Board of Directors
Lindex – Nordic market leader in lingerie
Lindex is the Nordic market leader in lingerie, with a loyal customer base of over 5.6 million members covering more than two thirds of the female population in its key markets of Sweden, Norway and Finland. Lindex’s assortment is focused on sustainable and timeless womenswear and kidswear, and it also has a growing portfolio of products under Lindex’s FemTech brand Female Engineering®. The company’s purpose is to empower and inspire women everywhere. Today, Lindex has presence in 34 countries through a combination of its store network and online store, as well as sales worldwide through third-party partners.
Stockmann – premium heritage retailer
Stockmann is a multichannel retail company with eight department stores in Finland and the Baltics and an online store focusing on a range of fashion, beauty and home products and services for daily life and special occasions. In the Baltics, Stockmann’s range also includes high-quality food and beverage products. As a pioneer in premium retail, Stockmann has been inspiring generations of shoppers since 1862. The company has over 1.4 million loyalty program members in Finland and the Baltics.
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