Patagonia’s new shareholder is the Earth

Patagonia’s founder Yvon Chouinard announced plans to transfer ownership of the outdoor clothing retailer to the Patagonia Purpose Trust and the Holdfast Collective.

Why it’s the BFD: It doesn’t happen often, but Patagonia joins other companies controlled by mission-driven shareholders such as the Hershey Company, which is majority owned by the Hershey Trust Company, and REI Co-op.

Details: After nixing a sale or public offering, Patagonia decided to stay private, remain a B Corp, and transfer ownership to a trust and nonprofit.

The intrigue: “We needed to find a way to put more money into fighting the crisis while keeping the company’s values intact,” Chouinard wrote in a letter posted on Patagonia’s website.

Of note: Clif Bar faced the same dilemma, with founder Gary Erickson backing out of a deal to sell the business in 2000 for $120 million to Quaker Oats and to instead focus on sustainability.

The bottom line: “We’re making Earth our only shareholder. I am dead serious about saving this planet,” Chouinard said in a statement.