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#Puig the owner of brands such as Carolina Herrera and Rabanne plan to raise more than 2.5 billion euros in Spain's largest initial public offering in almost a decade. The family-owned company aims to sell 1.25 billion euros of new shares and an even larger amount of existing stock through the IPO. Puig said a public listing would align its corporate structure with that of other businesses in the premium beauty sector. The fashion and fragrance company controls 11% of the global high-end fragrance market. With recent acquisitions its exclusive skincare and makeup brands sold 4.3 billion euros of products last year, up 19% from 2022. The company said it will use the proceeds from the IPO to refinance recent acquisitions of additional ownership in the prestige fragrance label i.e. Byredo and expects to expand its presence in Asia Pacific and in the skincare wellness categories. I will be watching with interest how this unfolds with regards to their strategy and support for new brand acquisitions and their expansion in Asia Pacific and into new skincare categories. Please do share your thoughts and comments below. #puig #beautysector #newacquisitions #asiapacific #skincare

Hong Kong-listed skincare specialist L’OCCITANE Group International SA shares fell almost 30 percent on Tuesday after its chairman and controlling shareholder said he decided against a deal to take the company private, curbing speculation of a European listing. L’Occitane’s stock slid to HK$19.70 in early trading after chairman Reinold Geiger’s investment holding company, L’Occitane Groupe SA, decided not to go ahead with a take-private offer it last month said would be worth no less than HK$26.00 a share. L’Occitane’s market capitalisation declined to HK$29 billion ($3.70 billion) from HK$40.9 billion based on the stock’s last closing price on Friday. Sources had earlier told Reuters that Geiger had also been speaking to advisers about the possibility of re-listing the skincare products group on a European exchange as soon as next year. Read the full report below.

PUIG AIMS TO RAISE 2.5 BILLION EURO IN IPO The Business of Fashion The family-owned premium beauty conglomerate has confirmed it will float shares on the Spanish stock exchange while retaining majority control, following months of speculation. Puig, the family-owned Spanish beauty conglomerate, announced plans for an initial public offering on the stock exchanges in Barcelona, Madrid, Bilbao and Valencia. The company owns 14 brands including Charlotte Tilbury, Paco Rabanne and Byredo, as well as a number of fragrance licences.The company hopes to raise €1.25 billion ($1.3 billion) through the first round of IPO, followed by a larger secondary sale that would bring the total fundraising north of €2.5 billion. The Puig family will retain a majority stake in the company and the “vast” majority of voting rights, the company said.In 2023, Puig reported net revenues of €4.3 billion ($4.6 billion), up 19 percent, while net profit rose to €465 million ($503 million), up 16 percent on the previous year.In October 2023, chairman Marc Puig confirmed the group was mulling an IPO among other strategic options to raise fresh capital. In a statement released today, Marc Puig said the decision was a “decisive step” in the company’s 110-year history, and that it was important to ensure the “right checks and balances” were in place during a “generational transition.” “We believe that the balance of being a family-owned company that is also subject to market accountability will allow us to better compete in the international beauty market during the next phase of the company’s development,” said Marc Puig, adding that being a publicly listed company will align its corporate structure with those of best-in-class, family-owned companies in the global premium beauty sector. Top industry players such as L’Oréal and Estée Lauder have long been publicly traded, as well as retaining founding family ownership stakes.The company plans to further diversify into skincare and makeup, and focus on prioritising brands it owns outright rather than licenses, which can be expensive to renew and disruptive when they lapse. 95 percent of revenues came from fully-owned or majority-owned brands like Paco Rabanne, Dries Van Noten or Nina Ricci last year, Puig said.The company has been making more acquisitions of late – in January, it purchased luxury skincare brand Dr. Barbara Sturm, following its acquisitions of Byredo and Charlotte Tilbury since 2020.“Our unique and creative DNA has allowed us to attract leading founders and brands… We strongly believe that building premium brands requires long-term thinking,” Marc Puig said.Currently, fragrance is Puig’s largest revenue driver. But the group’s smallest segment, skincare, grew the most in 2023, with revenues up 31 percent to €431 million ($466 million). The company has long been profitable, Puig added. https://lnkd.in/guggE2Pw #metaverse #ai #fashion #beauty #investment

Blackstone bid for Skin-Care Company L’Occitane is ON HOLD right now and unconfirmed information from Asia suggests that the cosmetics group listed in Hong Kong would have been withdrawn from the Stock Exchange. In our humble opinion and if the information were to be confirmed, it will only be postponed pending a significant improvement in the group's key ratios under the direction of the new general manager recently hired. This is the second attempt in less than 6 months and demonstrates the interest of potential investors despite the mistakes made by various investment funds when acquiring similar companies. The RISK factors observed to date during preliminary due diligence would be: 1- The considerable debt ratio of the group. 2- The decrease in operating income projected as of 31/3/2024 3- The drop in net income projected as of March 31, 2024 4- Sluggish growth of the L'Occitane brand despite considerable increase in sales and insufficient financial performance. 5- The performance of the SHOPS network is linked to new store openings and insufficient organic growth. 6- Lack of response to the SPIN OFF of Sol de Janeiro proposed by certain minority shareholders. This brand contributes significantly to the explosion in the group's consolidated sales and to its operational results as of 31/3/2024. 7- In the short term and if the information were to be confirmed, a DROP in the share price should be expected because speculators who thought they smelled a quick opportunity will offload their shares. 8- Becoming PRIVATE again is the only alternative to exiting the Hong Kong stock exchange for the L'Occitane group.

Puig aims for top-of-the-range €14bn valuation at IPO Spanish beauty group will list at the end of this week Spanish beauty group Puig is aiming for a top-of-the-range valuation of nearly €14bn in its initial public offering due on Friday, signalling strong demand in a deal set to be Europe’s largest market debut this year. Any bids from investors coming in at below €24.50 per share — equating to a market capitalisation of €13.9bn — “risk missing” out on the offer, according to terms distributed by Puig’s bankers. Puig said this month that its expected valuation range was €12.7bn to €13.9bn. Demand from investors is exceeding the size of the deal, according to those working on it, with the company aiming to sell up to €3bn of shares. A strong listing for Puig would build momentum in Europe’s IPO market, after European private equity group CVC Capital Partners saw its shares jump on its first day of trading last week following a long-awaited IPO. Do you think that this can help build the momentum back in the European capital markets? Please read the article below by Financial Times for more details. #ipos #capitalmarkets #letsgo #europeanmarket #unicorn #beauty #products #accounting

Fragrance is entering a new chapter. Learn more from Circana and Jacquelyn Wenskus

🚀 The recent hot topic in the beauty industry: Puig, the family-owned Spanish conglomerate, is gearing up for an IPO in the coming months. According to a recent article by The Business of Fashion, Puig's bold diversification strategy and strong brand mix position it for success in the European markets. Ariel Ohana, managing partner at Ohana & Co., shared his thoughts in this article of BOF. Huge thanks to Priya Rao for the insightful article, and special appreciation for including us in the discussion! 👏 📰 Read the full article here: https://lnkd.in/ev3gqyMQ #Puig #IPO #BeautyIndustry #BusinessOfFashion #BeautyMandA #OhanaAndCo #Diversification #EuropeanMarkets 🌟

In an ideal world the bulk of the investments and M&A transactions would go toward the best performing beauty categories and brands. We could argue that in most of the cases this is true. We have witnessed the #makeup brands acquisition and investment spree in 16-18 (e.g. Morphe, Anastasia Beverly Hills, Hourglass Cosmetics, Milani Cosmetics ...) followed by #fragrances in 18-19 (e.g. Nichebox acquisition of #liquidesimmaginaires #clivechristian or Givaudan 9 investments in 18-19...) and then haircare in 21-22 (e.g. Nutrafol, OUAI ...) while #skincare and personal care holds a relatively constant 40% of total number of investments and acquisitions. So what is happening in 2024? hold tight! #beautyindustry

https://lnkd.in/em8eUDCB Why Groupe L’Occitane may delist from the Hong Kong stock exchange ? Blackstone, The Largest Private Equity Firms in the World with an AUM (Assets under management) of 7.5 trillion USD is on the French company listed in Hong Kong and whose turnover amounts to 5.55 billion USD (5.06 billion euros), suspended the trading of its shares on APR 9th 2024, awaiting a probable announcement specifying the details of a takeover project since last year. 24 years after its listing in Hong Kong, the L’Occitane group could finally withdraw from the Stock Exchange. According to Bloomberg, the majority shareholder of the cosmetics group born in Manosque (Alpes-de-Haute-Provence), the Austrian Reinold Geiger, has just concluded an agreement with the American investment fund Blackstone to help him finance this delisting. Pending an announcement, the company's share price has been suspended. Reinold Geiger would offer a premium of 20% compared to the price of L’Occitane shares before the publication of the Bloomberg information. Present in 90 countries, the L'Occitane group owns the cosmetics brand L'Occitane en Provence, founded in 1976 by Olivier Baussan, an eco-literature student. In difficulty in the 1990s, the brand was reborn thanks to the investment of Reinold Geiger. The Austrian affirms the Provençal identity of L'Occitane, develops the brand internationally and, in recent years, has expanded the L'Occitane brand portfolio to make it a diversified group. It now counts Melvita, Erborian and the British Elemis among its flagship brands. The US is by far L’Occitane’s largest market (36% of turnover), far ahead of China (12.6%). Last year, the group exceeded 2 billion euros in turnover for the first time, growing 19% year-on-year, despite the headwinds encountered in the latter country. This just shows that the French luxury sector still has an enormous potential in the long term like LVMH, Kering, l'Oréal, Hermès, Rémy Cointreau...Etc amid the slowdown growth in China. Luxury stocks are the rare French sector that perfoms better than the US S&P 500. 如果您想投资法国奢侈品股票，请随时与我联系。 感谢您的阅读！

KIKO MILANO MEETS LVMH LVMH-backed private equity fund Moët Hennessy Louis Vuitton has targeted beauty powerhouse Kiko Milano. After months of speculation, L Catterton announced on Friday that it had acquired a majority stake in the company. So the lord wants to get his hands on the world’s beauty. Created in 1997 by entrepreneurs Antonio and Stefano Percassi, Kiko Milano is controlled by Percassi’s Odissea Srl holding company and generated revenue of €798 million in 2023, up 19% year-on-year. previous year and ranking 49th in the annual ranking of the world’s largest beauty companies by sales. The company has more than 1,100 stores worldwide and sells its products in more than 66 markets. The deal aims to further accelerate the brand’s global growth, particularly in the United States. Last year, Kiko’s sales in the Americas increased by 43% compared to 2022, while those in Asia and Europe increased by 21.3% and 18.6%, respectively. There will be no competition for Sephora, that’s life. https://lnkd.in/eGrfPS9U