Originally established back in 2008, Sweden’s Happy Socks has grown to include over 10,000 points of sale across over 90 countries in less than a decade, raking in around €1 million EUR (approximately $1.06 million USD) in sales over the course of 2016 alone. Its growing stature has caught the eye of Palamon Capital Partners, which has acquired a majority stake in the company for around $81.2 million USD. The acquisition will also see Palamon injecting about $4.5 million USD of additional capital into the company to expand the existing business, thus giving the sock-centric outfit a valuation of $85.7 million USD. Founders Mikael Söderlindh and Viktor Tell will also remain at the company following the acquisition. Said Söderlindh:
We have transformed the company into a real growth engine by strengthening our operational platform and our global presence. We have achieved the best of both worlds by securing a strong new partner in Palamon and remaining significant owners in a great business that we will continue to build in the years to come.
Palamon’s Ali Rahmatollahi added:
Happy Socks is a phenomenal company with a very distinctive brand DNS that resonates with consumers around the world. Palamon’s investment stems from the firm’s ongoing effort to identify well-positioned European specialty retail brands with strong growth potential in a global market.