OVS launched takeover bid for Charles Vögele

OVS, Italian clothing chain, has launched a takeover bid for Charles Vögele Holding, active in the fashion retailer, with 760 stores including Switzerland, Germany, Austria, Holland, Belgium, Eastern Europe and annual sales of about 800 million Swiss francs .

The goal is to acquire a minority stake of 35% in Sempione Retail for a total investment of 14.1 million Swiss francs and no significant impact on indebtedness. Sempione Retail is the vehicle through which it was launched the takeover bid for the shares of Charles Vögele Holding, at a price of 6.38 Swiss francs each.

If successful – the offer will take place approximately from October 26 to November 23 – Voegele will enter into a cooperation agreement with the Italian group, which aims to introduce the brand and merchandising in Switzerland, Austria, Slovenia and Hungary, through a plan conversions. At the conclusion of the transaction, Retail Sempione also intends to delist Charles Vögele from the SIX Swiss Exchange.

At OVS it will be granted an option to purchase an additional stake of 44.5% in Sempione from Retail Investment, one of the other two co-investors, starting from the third year following the acquisition of the shares.

The Board of Directors of Charles Voegele has unanimously decided to support the takeover bid and to recommend to the shareholders to accept it.  Board president Max E. Katz, noted "the great progress in the turnaround of Charles Voegele in recent years. However, in the light of the latest developments in the market and the downsizing of the entire apparel market, the board believes that an acquisition by Sempione Retail and a collaboration with OVS would accelerate the change and return to profitability. "

Stefano Beraldo, OVS CEO, said that "we have analyzed very carefully the network and the merchandising of Charles Voegele and we believe that in selected countries, particularly in Switzerland and Austria, the quality of the location and the size of the shops are interesting and in line with our standards".