GOLDEN Goose Group and its shareholders are seeking to raise about 558 million euros (S$811.2 million) in the luxury sneaker brand’s initial public offering, in a further boost to Europe’s listings resurgence.
The company and its owner, private equity firm Permira, plan to sell about 30 per cent of its share capital for 9.50 to 10.50 euros each, according to a statement.
The IPO will be Milan’s biggest since at least the 599 million euros sale by gambling company Lottomatica in May last year and will give Golden Goose an implied market value of 1.7 billion to 1.9 billion euros.
Bloomberg News reported earlier that Golden Goose could be valued at about 3 billion euros including net debt.
The Italian brand, whose customisable, star-emblazoned shoes retail for around US$450 and have a busy second-hand market, has been a hit among celebrities from Selena Gomez to Taylor Swift.
The shoemaker has already passed through the hands of three global investment groups. Carlyle Group bought the company from Ergon Capital Partners in 2017, sparking its expansion into the US and China. Three years later, Permira bought Carlyle’s majority stake.
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Golden Goose is issuing about 10 million new shares, while Permira could sell as many as 43.6 million existing shares at the top of the price range. Invesco Advisers has agreed to be a cornerstone taking a 100 million euros stake at the final price.
If there’s demand to allocate additional shares under a so-called green shoe option, the deal size could increase to about 642 million euros.
Golden Goose plans to use the IPO proceeds to pay down debt. The company is targeting net sales of about 1 billion euros by 2029, up from 587 million euros last year.
The Italian company joins buyout giant CVC Capital Partners and Spanish beauty group Puig Brands in moving ahead with listing plans in Europe this year, boosted by the stock market’s rally to record highs.
IPO volumes sank in 2022 and 2023 as central banks raised interest rates to cool inflation, denting investors’ appetite for risk.
The European listings market has rebounded, with the total value of IPOs trading in the region so far this year more than doubling to almost US$13.3 billion compared with the same period in 2023, according to data compiled by Bloomberg.
Bank of America, JPMorgan Chase, Mediobanca and UBS Group are arranging the offering. BLOOMBERG
