Brazil’s J&F Sells Havaianas Maker For $1.1 Billion

Who knew flip flops were worth so much!

J&F Investimentos SA has agreed to sell a controlling stake in Havaianas flip-flop maker Alpargatas SA to the investment firms of Brazil’s most prominent banking families for 3.5 billion reais ($1.1 billion), according to securities filings.

According to CNBC, under terms of the deal, Cambuhy Investimentos Ltda, Itaúsa Investimentos SA and the fund Brasil Warrant will split J&F’s 86% stake in Alpargatas. Both had bid 3.3 billion reais for Alpargatas before talks appeared to have collapsed, Reuters reported.

The much-awaited sale is the first by J&F, the holding company overseeing the fortune of Brazil’s billionaire Batista family, since it was slammed with a record-setting leniency fine linked to a corruption probe. Proceeds from the sale will go to help repay J&F’s debt and speed up payments on the 10.3 billion-real fine, people told Reuters on Sunday.

São Paulo-based Alpargatas makes Havaianas flip flops which have been worn by celebrities including Kate Hudson, Eva Longoria, Amanda Seyfried and Jennifer Aniston. Its shares had surged 56% this year on expectations of a sale. Alpargatas also manages a wide array of Brazilian fashion brands including beachwear brand Osklen.

Originally from Detroit, Ashley has been a style curator and editor for over a decade, having lived in Washington DC and New York City before moving to West Hollywood in 2015. She has written for The Washington Post, Hollywood Life, Haute Living, Vanity Fair, International Business Times and Fashion Times. She lives for leather jackets, statement sunglasses, RuPaul's Drag Race and her rescue basset hound Cletus.

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