San Francisco, Sep 15 (Agency) The billionaire founder of the outdoor fashion retailer Patagonia says he has given away his company to a charitable trust. Yvon Chouinard said that under a new ownership structure, any profit not reinvested in running the business would go to fighting climate change. This will amount to around $100 billion a year, he claimed, depending on the health of the company. Patagonia sells hiking and other outdoor clothing in over 10 countries. Founded in 1973, its estimated revenue was $1.5 billion this year, while Chouinard’s net worth is thought to be $1.2 billion, the BBC reported.
“Despite its immensity, the Earth’s resources are not infinite, and it’s clear we’ve exceeded its limits,” the entrepreneur said of his decision to give up ownership. “Instead of extracting value from nature and transforming it into wealth, we are using the wealth Patagonia creates to protect the source.” The Chouinard family, which always owned the company, has transferred it to two new entities. The Patagonia Purpose Trust, led by the family, remains the company’s controlling shareholder but will only own 2% of its total stock, Chouinard said. It will guide the philanthropy of the Holdfast Collective, a US charity “dedicated to fighting the environmental crisis” which now owns all of the non-voting stock – some 98% of the company.