ZEELAND, Mi. - Office and furniture giant Herman Miller - number 5 on the FDMC 300 - will pay $78 million for an additional 34 percent equity interest in HAY A/S, a European leader in ancillary furniture. Herman Miller owned 33 percent before the purchase - bringing it to a majority 67 percent.
"Scaling HAY is a key component in expanding our footprint within the retail and contract markets while reaching a younger, more urban demographic that we've been targeting for expansion," said Andi Owen, Herman Miller President and CEO. "I'm so proud of the design-first approach HAY has brought to an already exciting family of brands."
Founded in Copenhagen in 2002 by Troels Holch Povlsen and Rolf and Mette Hay, HAY is a leader in ancillary furnishings in Europe and Asia and is active in both the contract and residential furnishing markets. Miller says increasing its ownership position in HAY directly aligns with it's strategic priority to accelerate profitable growth accelerate the development of the HAY brand globally.
"Since the launch of HAY in North America in 2018 within its retail and contract channels, Herman Miller has seen meaningful progress, including launching the North American eCommerce platform, starting localized production, and opening three physical locations in Portland, OR; Costa Mesa, CA; and Chicago, IL," said Miller in a press release.
HAY's remaining 33 percent interest is still owned by co-founders Rolf and Mette Hay, who will continue to work with Miller.
"We are pleased to continue and expand HAY's relationship with Herman Miller, a company whose design heritage very much inspired both modern living, and Mette and I," said Rolf Hay. "Our partnership with Herman Miller has enabled us to make our high-quality products by top designers accessible to even more people around the world."
"Our partnership with Herman Miller will help us do what we do best – on a larger scale," said HAY CEO Henrik Steensgaard. "We look forward to further capitalizing on this great partnership."
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