January 13, 2016 - Assignment

Litorina and founders divest ETON to EQT

Litorina IV L.P., Eton Innovation AB (the founding Davidson family) and the minority shareholders have entered into an agreement for the divestment of the premium men’s shirt and accessory manufacturer, Eton Group AB, to EQT Fund VII.

Eton, headquartered in Gånghester (Borås), Sweden, was founded in 1928 by the Davidson family. Over the years, Eton has expanded internationally and currently holds subsidiaries and branches in the U.S., the U.K., Canada and Denmark and Eton’s global turnover has increased from approx. SEK 300m in 2011 to SEK 650m in the twelve-month period up to November 2015. This year, Eton will deliver one million shirts to customers across 43 countries, with the U.S. being the single largest market.

Litorina IV is Litorina’s latest fund with a committed capital of SEK 2.5 billion. Since the first Litorina fund was established in 1998, Litorina’s funds have invested a total of SEK 3 billion in 40 companies. Litorina’s current portfolio comprises thirteen companies with a combined turnover of SEK 7 billion.

The transaction is subject to customary approvals from relevant competition authorities.

Litorina IV and Eton Innovation were represented by Mannheimer Swartling in the transaction. The firm’s team was led by Mattias Karlsson, primarily assisted by Caroline Karlsson, Johan Tholander and Emil Albihn Henriksson (IP), as well as Carl Johan Zimdahl at the firm´s New York office.