According to individuals acquainted with the situation, luxury sneaker company Golden Goose SpA intends to launch its initial public offering in Milan as soon as this week, capping off a notable comeback in European listings this year.
Based on encouraging responses from potential investors, Golden Goose may announce its plan to go public as soon as this week, according to persons who requested not to be named because the information is confidential.
Pitch: Golden Goose is being compared to the creator of puffy jackets, Moncler SpA, and analysts predict that investors will value the shoemaker at almost eleven times this year’s projected earnings. Based on calculations by Bloomberg, that would put the company’s value at around €3 billion ($3.3 billion) including net debt.
According to the sources, discussions are still ongoing, and the offering’s specifics, such as its size and timing, may change. An official from the business and its proprietor, the private equity group Permira, declined to provide a statement.
Encouraged by the stock market’s surge to all-time highs, Golden Goose would follow Spanish cosmetics business Puig Brands SA and buyout behemoth CVC Capital Partners Plc in pursuing their intentions for a European listing. Through IPOs, companies in the area have raised $12.4 billion this year, more than twice as much as they did during the same period last year.
Nevertheless, the corporation is conducting market research at a time when the luxury industry is contracting. Due to weak Chinese demand, Kering SA said last month that sales of its Gucci brand dropped 18% in the first quarter. In the first quarter, larger rival LVMH recorded 2% organic increase in sales of fashion and leather items, compared to 18% growth the previous year.
Stars like Selena Gomez and Taylor Swift wear Golden Goose shoes, which are made by hand in Italy with weather-worn patterns and a big star. On the business website, a pair of men’s Ball Star Wishes sneakers costs $740.
2020 saw Permira purchase the company for €1.3 billion. Bankers attempted to dazzle potential clients and vied for positions on the sale by showing up at Golden Goose IPO’s pitch meetings in late November, Bloomberg News said. The bankers were dressed in stylish suits and the shoes bearing the brand’s logo.
According to the people, the fresh supply is anticipated to be on sale before July.
