Italian luxury group Moncler eyes £2bn float

 
David Hellier
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MONCLER, an Italian maker of luxury fur lined puffer jackets, yesterday announced plans to float on the Milan stock exchange, hoping to replicate the success of Brunello Cucinelli, the luxury retail group that went public in early 2012.

Shares in Brunello Cucinelli are up more than 200 per cent since the group’s flotation.

Moncler considered an initial public offering (IPO) in 2011 but decided instead on a sale to Eurazeo, the private-equity firm that now owns a 45 per cent stake in the group.

Eurazeo will sell 14 per cent in the IPO while Carlyle Group, which owns 18 per cent, will sell half its holding.

The group, which derives much of its revenue from the winter season, announced a price range for its shares of between €8.75 and €10.20.

Moncler is coming to the market at a time when investors scent a recovery in the economy and demand for good quality luxury stocks is said to be high.

However, there will still be some nervousness about the issue, given that Constantia, a packaging firm, pulled its flotation in Frankfurt earlier this week, and Dubai-based property group Damac extended its bookbuilding process in London amid concern it did not have high levels of support.

The shares are expected to make their market debut on 16 December, making it the third listing on the main Milan stock exchange this year. Notebook maker Moleskine made its debut on the bourse in April and Italian freight forwarding company Savino del Bene is expected to list on 6 December.

Details of the deal will be published in the prospectus today, Moncler said in a statement, adding it had received approval from the Italian stock market regulator.

A report used to market the deal to investors by joint-bookrunners Banca IMI valued the company at around £2bn, based on how much investors are willing to pay for other Italian luxury brands.

ADVISERS BANK OF AMERICA MERRILL LYNCH

FEDERICO
ALIBONI

Bank of America Merrill Lynch (BAML), which advised on the successful flotation of Brunello Cucinelli, is advising on the Moncler deal alongside Goldman Sachs.

Federico Aliboni, chairman of global consumer and retail investment banking, together with Diego De Giorgi, co-head of EMEA corporate and investment banking and Mauro Premazzi, director of investment banking, led the charge for BAML.

Goldman Sachs’ team was led by Gilberto Pozzi, head of EMEA mergers and acquisitions in the investment banking division; Alasdair Warren, who participated in City A.M.’s roundtable on the new issues market last June and is head of the financial sponsors group in EMEA; and Antonino Mattarella.

Mediobanca is a third global co-ordinator.

Banca IMI, JP Morgan, Nomura and UBS are joint bookrunners and BNP Paribas, Equita SIM and HSBC are lead managers, while Claudio Costamagna and Lazard are the financial advisers.

If the deal goes ahead, it is expected to be the largest in the European luxury sector this year. Morgan Stanley, which worked on the previous IPO attempt, is not involved this time.