December 5, 2020

DealBook: Prada Approved for Hong Kong I.P.O. in Late June

Prada, the Italian luxury goods maker, has received approval to go public in Hong Kong as the company seeks to sell a one-fifth stake in itself for about 1.8 billion euros, or $2.5 billion, a person with direct knowledge of the matter said Friday.

The approval for the offering, which would be the first for a European luxury group in Hong Kong, came after meetings late Thursday between the company and the exchange, the person said, requesting anonymity because he was not authorized to speak publicly.

Prada, which makes handbags, shoes and clothing, is tapping the wealth of Asian investors, whose appetite for share issues rivals their enthusiasm for luxury goods.

Globally, Hong Kong was the most active exchange last year for the second year running, with companies raising $57.4 billion.

Prada said in March that revenues grew by almost a third to 2 billion euros last year, while net profit hit 251 million euros, two and a half times what it earned the year before. Sales in Asia expanded 63 percent last year, it said.

The joint global coordinators for the issue, first announced in January, are Banca IMI-Intesa Sanpaolo, Unicredit, Goldman Sachs and a unit of Credit Agricole, CLSA. Its legal advisers are Bonelli Erede Pappalardo, Slaughter May and Davis Polk.

The company is planning to list around June 24, after a roadshow set to begin in Singapore on June 6, the person said.

Article source: http://feeds.nytimes.com/click.phdo?i=185d2b7fb9150ed3e7e6fcf7369f4637

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