After almost 50 years, the creator of Patagonia is transferring ownership of the business onto two businesses that will aid in the fight against effects of climate change.
Patagonia is a privately held business with headquarters in Ventura, California, that sells outdoor gear and clothing. In 1973, Yvon Chouinard established the business.
According to a press release from Patagonia, Chouinard and his family will instantly transfer their entire ownership position into two brand-new businesses. These organisations will make sure that the business’s principles are followed and that Patagonia’s earnings are invested in the fight against climate change.
98% of Patagonia’s shares, the largest portion of the business, will now be managed by the Holdfast Collective. The company’s annual profits, which are estimated to be worth $100 million, will be utilised by this organisation towards climate adaptation such as– “protect nature and biodiversity, support thriving communities, and fight the environmental crisis.”
The newly established Patagonia Purpose Trust will be financed with the remaining company capital.