Stella Capital has acquired majority ownership of Soft Goat AB and By Malina AB, enabling both fashion brands to leverage financial resources and e-commerce expertise for future expansion.

Target Company Overview

Soft Goat AB and By Malina AB, both prominent players in the fashion industry, have joined forces under a newly co-owned company with Stella Capital as the primary investor. Despite having no previous connection of co-ownership, these two brands have operated concurrently with shared management. Stephanie Bergström, Erik Magnusson, and Malin Ek Andrén have maintained a collaborative relationship over the years, setting the stage for this strategic partnership.

Founded in 2011 by Stephanie Bergström and Erik Magnusson, Soft Goat made its mark as Sweden's pioneering direct-to-consumer (DTC) cashmere brand. It has grown to become a significant player in the market, driven by a commitment to delivering high-quality knitted apparel directly to consumers. With 15 employees, Soft Goat experienced a remarkable 30% increase in sales in 2021, reaching approximately €7 million, yielding a profit of around €1.2 million.

By Malina, established by fashion designer Malin Ek Andrén in 2010, aims to infuse color into Scandinavian fashion. This brand has developed a robust presence in various international markets th