(Bloomberg) -- French football star Kylian Mbappe has acquired a stake in German electronics firm Loewe Technology GmbH, an investment the company expects will increase sales and potentially pave the way for an initial public offering.
The 25-year-old Real Madrid player took a minority holding of more than 10% through his investment firm Coalition Capital, Loewe said, without disclosing a transaction value. The move comes after Loewe — best known for its high-end television sets — enlisted Mbappe as a brand ambassador earlier this year.
Loewe Chief Executive Officer Aslan Khabliev told Bloomberg News the firm aims to sharply increase annual revenue to around €300 million ($335 million) over the next couple of years from the current €60 million level, with a particular focus on the North American and Asian markets. That could eventually lead to an IPO, he said.
“Loewe’s valuation ideally grows to about €500 million over the next roughly five years,” Khabliev said, adding that he sees tennis star Roger Federer’s partnership with sports brand On as a blueprint for Loewe’s tie-up with Mbappe.
Earlier this year, Mbappe purchased a stake in French second-division football club Stade Malherbe Caen from Oaktree Capital Management. For Loewe, the football star’s massive online audience, including 122 million followers on Instagram, may prove particularly valuable.
“Kylian helped tremendously with a bluetooth speaker we have developed with him,” Khabliev said. Several of Mbappe’s teammates in the French national football team have also endorsed the product on social media, he added.
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