Menu
  • Home
  • London Exchange
  • Euronext
  • Australian Exchange
  • Wire
  • Contact Us
  • Business & Finance
NewsnReleases

Coats Group to acquire premium insole leader OrthoLite for $770 million

Posted on July 16, 2025July 16, 2025
Coats OrthoLite acquisition

LONDON: Coats Group plc said Wednesday it will acquire OrthoLite Holdings LLC, the global leader in premium insoles, for $770 million, as part of its strategy to expand in the high-growth footwear component sector.

The deal, expected to close in the fourth quarter of 2025, will be funded through a mix of new debt facilities and an equity placing of up to 19.99 percent of Coats’ issued share capital. The equity placing will be launched via an accelerated bookbuilding process, with a separate offer to retail investors to follow.

OrthoLite, which supplies over 500 million pairs of insoles annually to 550 global brands, brings a 36 percent market share in the open-cell foam insole category. The acquisition will make Coats a “super tier 2” supplier by expanding its footwear division and product offerings.

The transaction includes an initial enterprise value of $770 million, with an additional contingent payment of up to $10 million based on OrthoLite’s 2025 EBITDA performance. Coats expects to deliver $20 million in joint annualized cost synergies by 2028, reducing the EV/EBITDA multiple from 10.0x to below 8.0x post-synergy.

“This is fantastic news for both companies and for the footwear industry,” Coats CEO David Paja said in a statement. “Together, we’ll reshape the future of the footwear components industry.”

Glenn Barrett, founder and CEO of OrthoLite, called the merger “a powerful partnership of industry leaders,” and said it will support innovation and sustainability through OrthoLite and its Cirql technology—a recyclable foam midsole solution.

The acquisition will increase Coats Footwear’s pro-forma revenues to approximately $700 million. Coats expects the deal to be earnings accretive from year one, with ROIC surpassing WACC by 2028.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Track all markets on TradingView

Investing.com .

Site Navigation

  • Home
  • Listed Companies
  • Contact Us
  • London Stock Exchange
  • Singapore Exchange
  • Canadian Exchange
  • Australian Exchange
  • Oslo Bourse
  • PSX
  • Ratings
  • Euronext
  • MENA
  • Nasdaq Nordic
  • Wire
  • Business & Finance
  • Gadget Reviews
  • About Us: A Comprehensive Financial News Database

All news and articles on NewsnReleases are based on press releases, corporate announcements and analysts’ reports issued to London Stock Exchange (LSE), Euronext, Singapore Exchange (SGX), Japan Stock Exchange (JPX), Dubai Financial Market (DFM), Saudi Stock Exchange (Tadawul), Qatar Stock Exchange (QSE), BSEIndia, Australia Stock Exchange etc.

Listed Companies

Equity Markets and Stock Exchanges

NNR

©2025 NewsnReleases | WordPress Theme by Superb WordPress Themes