Puig, a leading player in the luxury beauty industry, is set to go public this Friday with an IPO value of 14,000 million euros. This marks the largest operation in Europe this year and reflects the company’s success. The strong demand from institutional investors has enabled Puig to maximize the money received from the sale of securities by current shareholders and the raising of funds.
Puig is expected to become a clear candidate for the Ibex 35, ranking fifteenth by capitalization at 24.5 euros per share. The company received overwhelming demand from investors, covering the entire placement within minutes of opening the order book last week. Banks suggested the possibility of increasing the offer price, but Puig stuck to its planned range and will wait for the closing of the 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 its high-quality investors, including Criteria as a new shareholder.
Managers note that cosmetics companies are experiencing significant growth, making it an ideal time for Puig to go public. Despite a slightly higher price tag than other companies in its class, Puig is listed with A and B shares without any traditional discount for B shares. The IPO operation will combine a capital increase and a direct sale of shares to raise funds for debt repayment and future growth initiatives.
Puig will put 32% of its capital on the market while retaining control through class A shares holding most voting rights. Measures have been put in place to prevent class A shares from being sold to third parties by family members or outside investors who may try to gain influence within the company.
In conclusion, Puig’s successful IPO represents a significant milestone for both luxury beauty industry and Spanish companies going public globally. With an overwhelming demand from institutional investors and quality investors on board such as Criteria as new shareholders; Puig is well positioned for future growth initiatives while maintaining family control over their enterprise through class A shares holding most voting rights.