Spanish beauty giant Puig sets stage for €14bn IPO
Puig, the Spanish beauty company behind popular brands like Paco Rabanne and Charlotte Tilbury, is gearing up for its initial public offering (IPO) – the largest in Europe so far this year.
The company is targeting a valuation of up to €14bn ($14.92bn), the Financial Times (FT) reported.
Scheduled to begin trading on 3rd May, Puig anticipates a market capitalisation between €12.7bn ($13.54bn) and €13.9bn ($14.81bn).
According to the news agency, the IPO will involve the sale of €3bn ($3.2bn) worth of shares, representing 21% to 24% of the company's ownership.
The founding Puig family will retain majority control.
Headquartered in Barcelona and boasting over 110 years of heritage, Puig will list its shares on the Madrid Stock Exchange along with other Spanish exchanges.
Investment banking heavyweights Goldman Sachs and JPMorgan are leading the IPO process.
The company intends to utilise the raised capital for "general corporate purposes," including financing further acquisitions.
The core offering of the IPO is around €2.6bn ($2.77bn) in shares, with an additional €390m ($415.66m) allotment option granted to Goldman Sachs.
Bookbuilding, the process of gauging investor interest, commences today and concludes on 30th April.
The final share price will be determined upon completion of bookbuilding.
According to the FT, in explaining the rationale behind the IPO, Marc Puig stated: “We believe that the balance of being a family-owned company that is also subject to market accountability will allow us to better compete in the international beauty market during the next phase of the company’s development.”
This IPO positions Puig for significant growth and solidifies its position as a major player in the global beauty industry.