Leica Camera Considering Selling a Majority Stake for $1.2 Billion: Report

Leica Camera AG’s owners are reportedly considering selling a controlling stake in the legendary photography brand.

On the heels of four consecutive years of record-setting revenue, Leica Camera AG’s controlling owners are investigating a possible sale, per Bloomberg. According to sources familiar with the situation, the stake could be worth €1 billion, which is around $1.2 billion at current exchange rates.

Bloomberg‘s anonymous sources claim that Austrian billionaire Leica owner, Andres Kaufmann, and Blackstone Inc. are in discussions with advertisers about a potential sale. Reportedly, HSG, formerly known as Sequoia Capital China, and Swedish private equity company Altor Equity Partners are among potential bidders, though the list is not exhaustive.

Discussions remain at a very early stage, and it is entirely possible that no deal will happen. Blackstone was reportedly considering selling its stake in Leica back in 2017, but clearly that never happened. Blackstone acquired its minority stake from ACM Projektentwicklung GmbH, Salzburg in 2011 for a rumored $179 million. Per The Wall Street Journal, Leica’s valuation at the time was around $400 million.

If Kaufmann sells, Bloomberg says there is a chance he and his family may reinvest. As chairman of Leica Camera AG’s supervisory board, Andreas Kaufmann is deeply involved with Leica’s operations and has been since Austrian investment firm ACM Projektentwicklung GmbH, Salzburg, purchased a controlling stake in Leica in 2005. Further, his wife, Karin Rehn-Kaufmann, is longtime Art Director and Chief Representative Leica Galleries International. The Kafumann family is not merely part of Leica’s ownership group; they have been integral to Leica’s business and cultural endeavors for over two decades.

As of today, ACM Projektentwicklung GmbH owns 55% of Leica Camera AG, while Blackstone Group owns the remaining 45%. It’s unclear what percentage stake is potentially up for grabs, but given its valuation, it must be sizable. Leica’s revenue last fiscal year was just under €600 million, or a shade over $700 million. As a private company since 2012, Leica’s profit margins are not publicly shared. However, the company has demonstrated exceptional, sustained success in recent years, a far cry from where it was in 2005, before ACM Projektentwicklung GmbH, Salzburg purchased it. At that time, Leica was on the brink of collapse. The company has grown consistently in the two decades since.

Leica tells PetaPixel that it has “no comment” on reports of a potential sale.

Image credits: Leica