Tod's minority shareholders back share issue in Roger Vivier deal

Italy Minority shareholders in Tod's on Wednesday approved a capital increase reserved to the Della Valle family, sealing the acquisition of the prestigious Roger Vivier brand from the key shareholders in the Italian luxury goods group.

Tod's, controlled by the Della Valle family, agreed in November to pay 415 million euros ($451 million) to buy the French brand whose buckled shoes Tod's has been producing under a license agreement.

Though some analysts said the price tag looked expensive, the deal allows Tod's to secure a brand that contributes 15 percent of its sales and enjoys higher profitability than the entire group.

Under the deal, the Della Valle family is set to reinvest half of the proceeds in a 207.5 million euro capital increase at Tod's, buying new shares at 83.53 euros each.

The company has adopted a so-called white-wash procedure which means the deal needed the backing of a majority of shareholders who are non-related parties, provided the latter at Wednesday's meeting represented at least 10 percent of the share capital.