Lego, the iconic brick toy company with a lineage spanning over 90 years, remains deeply connected to its founder’s family, who holds significant shares in the multi-billion-dollar business.
Sofie Kirk Kristiansen, the great-granddaughter of Lego’s founder, made headlines by selling approximately $930 million worth of shares in Kirkbi A/S, the family firm controlling 75% of The Lego Group, as reported by Bloomberg.
These 4 million shares, sold at 158,000 kroner each, were unloaded as part of Sofie’s decision to focus more on private endeavors related to nature conservation and preservation, as stated by Kirkbi. The sale resulted in a dividend payout and the subsequent cancellation of the shares, thereby increasing ownership stakes for the other family members within the firm.
Sofie’s brother, Thomas Kirk Kristiansen, chairs the family firm, succeeding their father earlier this year, while her sister, Agnete Kirk Kristiansen, joined Kirkbi’s board concurrently. Thomas, previously chairing The Lego Group’s board of directors, now oversees the family enterprise.
In May, a Kirkbi press release disclosed that Sofie held 12.7% voting rights, while her siblings commanded 37.7% and 12.8%, respectively. Each of the three siblings owns a 25% share in Kirkbi, while their father holds 22.5%, with the remaining 1.5% under the family’s nonprofit foundation, K2 Fonden af 2023.
Although Sofie’s sale aims to refocus her efforts, the specific impact on her siblings’ voting rights or ownership remains unclear.
While Lego’s legacy stretches back decades, its popularity endures across generations, attracting both children and adults alike. The company experienced substantial growth during the pandemic, with sales surging by 43% in the initial half of 2021 as indoor entertainment demand soared.
However, Lego faced a 19% profit decline in the first half of 2023, attributed to increased raw material costs and amplified investment for expanding operations. Despite this, CEO Niels Christiansen expressed satisfaction, noting Lego’s resilience in comparison to industry peers and its firm financial standing.
Christiansen emphasized, “We’ve consistently outperformed the market for the past few years. This year, the market took a downturn,” highlighting Lego’s robust market positioning.
Lego’s enduring charm remains steadfast, navigating challenges while maintaining a strong foothold in the toy industry, despite recent market fluctuations.
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