Puig, a luxury cosmetics and perfumery group, is set to go public this Friday with a value of 14,000 million euros. The company has set the IPO price at 24.5 euros per share, which is at the top end of the range considered in the IPO prospectus. This reflects the successful nature of this major operation in Europe for the year and the strong demand from institutional investors.
Puig’s IPO has been met with overwhelming demand last week as the order book was quickly filled. The placement banks even suggested raising the price of the offer after it was covered at 24.5 euros, highlighting the interest from investors. The company’s coordinators include Goldman Sachs, JP Morgan, Bank of America, BNP Paribas, CaixaBank, and Banco Santander, indicating a high level of support from key financial institutions.
Market experts suggest that Puig has strategically placed its shares with high-quality funds and investors, positioning the company for potential growth post-IPO. The company’s choice to list with two types of shares, A and B, without a traditional discount has raised some concerns among managers. It will be interesting to see how the market values Puig in light of its expected annual growth and current valuation.
Puig’s IPO operation will combine a capital increase with a direct sale of shares, aiming to raise significant funds for future growth and management of debt. The family’s decision to offer 32% of the company’s capital on the market ensures its family character remains intact while class B shares are available for sale while class A shares retain majority voting rights.
Overall, Puig’s upcoming IPO is generating significant interest in the market, with potential for growth and profitability post-listing. The company’s strategic decisions leading up to the IPO reflect a desire to raise funds for strategic initiatives while maintaining its family-owned identity.
