German perfume retailer Douglas, along with its shareholder Kirk Beauty International S.A., a holding company primarily owned by funds managed by global private equity firm CVC Capital Partners and the Kreke family, has established a share price range of 26.00 euros to 30.00 euros per share. This price range suggests a total market capitalization ranging from 2.8 billion euros to 3.1 billion euros. The German Federal Financial Supervisory Authority (BaFin) has approved the securities prospectus for the public offering in Germany and the listing of DOUGLAS today.
Douglas has announced the offering of approximately 32.7 million newly issued shares, with a total offer size of up to 907 million euros. The price range suggests a total market capitalization between 2.8 billion euros and 3.1 billion euros. The offer period is slated to commence on March 12, 2024, and conclude on March 19, 2024, with the first day of trading planned for March 21, 2024, on the Frankfurt Stock Exchange.
The company aims to raise around 850 million euros from the sale of Primary Shares. In addition, the current shareholder plans to inject an additional 300 million euros into the capital reserves. This combined equity contribution of approximately 1.15 billion euros, along with available cash and approximately 1.3 billion euros in gross proceeds from the DOUGLAS Group’s new 1.6 billion euro loan agreement (including an undrawn revolving credit facility of 0.3 billion euros), will be utilized for a complete refinancing of existing financial obligations. This strategy aims to further reduce the DOUGLAS Group’s debt burden and support future growth initiatives.
Sander van der Laan, CEO of DOUGLAS Group, said: “Last year with the beginning of spring, we announced our new strategy ‘Let it Bloom’ and exactly a year later, we are now heading to list the company at the Frankfurt stock exchange. I view this as a good sign that Team DOUGLAS has continued to make great progress and is fully committed to further develop the company. With our strong business model and successful growth strategy, the DOUGLAS Group is optimally positioned in a very attractive market. The deleveraging associated with the IPO will increase our financial flexibility and provide additional support for our successful development.”
