How Birkenstock’s Hippie-Sandal CEO Jilted an Ex-Goldman Star

As Christmas Eve approached last year, Germany’s savviest dealmaker thought he’d pocketed a special gift.

In the early hours of Dec. 24, Alexander Dibelius struck a gentleman’s agreement with Oliver Reichert, the chief executive officer of Birkenstock. CVC Capital Partners, the buyout firm where Dibelius is a managing partner, was set to buy the iconic German sandal-maker for more than 3.5 billion euros ($4.2 billion).

Oliver Reichert

Photographer: picture alliance/Getty Images

For CVC, Birkenstock had all the ingredients of a promising investment: a brand that resonates with its eco-warrior credentials and rich heritage, coupled with the allure of untapped growth in markets like ...