Saturday September 20, 2014 Search
Weather | Athens
27o C
19o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Hidden Greek gems billionaire emerges with Folli Follie

By Tom Metcalf

Dimitrios Koutsolioutsos, the founder and chairman of Folli Follie SA (FFGRP), has become a billionaire as the Athens-based maker of jewelry, handbags and fashion accessories increased almost 10-fold in the last two years.

Folli Follie, which owns jeweler Links of London as well as its namesake retail chain, weathered Greece’s economic turmoil selling mid-priced items such as $60 Match & Dazzle Bracelets and $135 K Chic Handbags, and partnering with Shanghai-based Fosun International Ltd. and Basel, Switzerland-based Dufry AG.

"The Koutsolioutsos family managed to get the company out of a very difficult period when there was doubt whether Greece would stay in the euro zone," Iakovos Kourtesis, an Athens-based analyst at Piraeus Securities SA, said in a phone interview. "Through strategic agreements with Fosun they’ve managed to expand into China. The tie-up with Dufry promises growth in areas like Latin America and Russia."

Koutsolioutsos controls 36 percent of the company, according to a 2013 financial statement, a stake valued at $1 billion. The 71-year-old has at least $75 million in cash and other assets derived from share sales and dividends, according to the Bloomberg Billionaires Index.

The billionaire didn’t respond to e-mail requests for comment.

Koutsolioutsos opened the first Folli Follie store in downtown Athens in 1982 with his wife, Ekaterini, according to the company’s website. The company sold shares on the Greek stock exchange 15 years later. It merged with Hellenic Duty Free Shops SA and Elmec Sport SA in 2010. His son, George, is the company’s chief executive officer.

'Cautious optimism'

The company navigated the global financial crisis by selling a 9.5 percent stake to Fosun in 2011, which bolstered the retailer's expansion into China. They also completed the sale of the group’s duty-free business to Dufry in 2013, which allowed Folli Follie to pay down debt.

The company’s revenue dropped to 934 million euros ($1.3 billion) in 2013 from 1.1 billion euros the prior year while debt was reduced by 519 million euros to 223 million euros. Its earnings before interest, taxes, depreciation and amortization margin rose two percentage points to 21 percent.

Folli Follie’s performance stands in contrast to the weakness of the broader Greek economy, where gross domestic product fell 1.1 percent in the first quarter of 2014 and unemployment stood at 28 percent at the end of February, according to Greece’s statistics agency.

"Looking ahead, there is cautious optimism regarding the outlook for the Greek economy," Koutsolioutsos said in his 2012 letter to shareholders. "We believe that our competitive strengths, along with the growth strategies that we have implemented, will enable us to achieve continued financial success." [Bloomberg]

ekathimerini.com , Friday June 6, 2014 (10:42)  
Record sum of new debts to the state in August
‘Greece can meet its needs on its own’
Cyprus civil servants´ strike called off
Elliniko investors eye Cyprus project warily
Results of probe into 20 Lagarde list names due soon
Members of the Financial Crimes Squad (SDOE) and tax inspectors involved in an investigation into the so-called Lagarde list of Greeks with Swiss bank accounts expect to be able to announce ...
Police refute reports of Jihadi training
Greece is not a training ground for Jihadis, the Greek police said in a statement released late on Friday in response to reports in the local media claiming that radical Islamists have been ...
Inside News
SOCCER
Triumph for PAOK, historic result for Asteras in Europa League
Greek teams produced a patchy record on the opening night of the Europa League group stage on Thursday, as PAOK thrashed Dynamo Minsk, Asteras Tripolis snatched a draw at Besiktas and Panath...
SOCCER
Financial crisis forces Greek second division postponement
Greece's second soccer division Football League announced on Wednesday the postponement of the start of the season due to financial difficulties being faced by most clubs. "The board of dire...
Inside Sports
COMMENTARY
Universities threatened by transfers
The problem arising from the abuse of the Greek university transfer system – whereby some students are allowed to move to an institution of their choice instead of the one they were admitted...
EDITORIAL
Capital changes
A sizable part of the middle of the Greek capital has been slated to receive a significant makeover with the implementation of an urban restructuring project which includes turning a key cit...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Results of probe into 20 Lagarde list names due soon
2. Police refute reports of Jihadi training
3. Gov’t drafts plan to secure exit from memorandum
4. Greek commuters have relatively long wait
5. IKA uncovers benefits scam at Kerameikos branch
6. Man dies in well accident
more news
Today
This Week
1. ‘Greece can meet its needs on its own’
2. Record sum of new debts to the state in August
3. Results of probe into 20 Lagarde list names due soon
4. Climber rescued on Mount Olympus
5. Special guard arrested over extortion, bribery
6. Gov’t drafts plan to secure exit from memorandum
Today
This Week
1. Greece on standby
2. Greece at bottom of social justice scale among EU28
3. Central Athens traffic restrictions back in force on Monday
4. Lost in the fog
5. Democracy under Pressure | Live Streaming
6. Lessons not learned
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.