Puig Shares Public: Luxury Brand Goes Global with $14 Billion IPO on Friday
Puig is set to go public this Friday with a value of 14,000 million euros. The company has decided to set the IPO price at 24.5 euros per share, which is the highest within the range considered in the IPO prospectus. This reflects the success of the largest operation in Europe this year and the strong demand from institutional investors, which has allowed Puig to maximize the money received from the sale of securities by current shareholders and the raising of funds.
The company is expected to become a clear candidate for the Ibex 35, ranking fifteenth by capitalization at 24.5 euros. Puig received overwhelming demand from investors, covering the entire placement within minutes of opening the order book last week. Banks suggested increasing the offer price, but Puig stuck to its planned range and will wait for the closing of books on Tuesday.
Goldman Sachs, JP Morgan, Bank of America, BNP Paribas, CaixaBank, and Banco Santander are all involved in coordinating the operation. Market sources believe that Puig has placed portfolios of large funds due to increased investor interest in the luxury sector this year. The company is expected to close its premiere with increases thanks to high-quality investors it has attracted, including Criteria as a new shareholder.
Managers note that cosmetics companies are experiencing significant growth and that it’s an ideal time for Puig to go public despite slightly higher prices. Puig is listed with A and B shares without traditional discounts for B shares. The IPO operation will combine a capital increase and direct sale of shares to raise funds, repay debt and finance future growth.
Puig will put 32% of its capital on market while family retains control through class A shares holding majority voting rights with measures put in place to prevent sale class A shares third parties maintaining family’s influence within company
