Rothy’s CEO Talks Alpargatas’ Nearly $500 Investment, 2022 Expansion Plans

Earlier this week, Rothy’s landed a deal valuing it at $1 billion. Alpargatas S.A., the Brazilian company behind flip-flop brand Havaianas, has scooped up a 49.9% stake in the sustainable footwear label. In a two-step transaction, Alpargatas will invest $200 million in cash followed by an offering to acquire approximately $275 million of Rothy’s shares from current stockholders, resulting in a post-investment valuation of $1 billion. Co-founder and CEO of Rothy’s, Stephen Hawthornthwaite, said the partnership will build on Rothy’s current momentum while advancing the vision of creating a profitable and sustainable global business. Hawthornthwaite and co-founder Roth Martin will maintain a significant equity stake in the business and continue to oversee operations. “This partnership with Alpargatas is all about growth,” Hawthornthwaite told FN. “The key opportunities we’re focused on include international expansion, building our retail presence and advancing sustainability. The additional capital we’ll gain through this investment will help us fuel our pipeline of product innovations, with potential to expand into new styles and sustainable materials.” Prior to the investment news, Rothy’s has been aggressive on the brick-and-mortar front. The company told FN in September that it plans to double its retail footprint by early 2022 — that’s in addition to its current six

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