Lululemon Athletica Inc. announced that it has agreed to repurchase one million shares of its common stock in a private transaction with funds affiliated with Advent International Corporation.
These shares will be repurchased under the company’s $500 million share repurchase authorization and funded with cash on hand. Following this transaction, there will be $337 million remaining on the company’s share repurchase authorizations. Advent has also informed Lululemon that it has sold an additional four million shares of the company’s common stock pursuant to Rule 144. Prior to these sales, Advent owned approximately 10.1 million shares of Lululemon common stock.
“We’re proud to be a continued partner in Lululemon ’s success, sInc.e our initial investment in 2005 and in this subsequent investment five years ago,” said David Mussafer, chairman and managing partner at Advent International and lead director of Lululemon ’s Board of Directors. “Helping the team execute on its long-term goals is precisely what we aim to achieve in any investment and this partial sale is consistent with our planned monetization of our interest in Lululemon .”
Mussafer continued: “We remain actively involved with the company as investors and board members and look forward to its continued success under Calvin McDonald’s Inc.redible leadership.”
Calvin McDonald, chief executive officer of Lululemon, stated: “We appreciate Advent’s ongoing partnership and continued guidance over the years as the company has grown considerably. Lululemon is stronger today because of our work together, and we are pleased to complete this transaction in a strong financial position.”
