Online fashion and lifestyle retailer Global Fashion Group has set the price range for its planned initial public offering (IPO) at EUR6-8 (US$6.74-8.98) per share in preparation for its debut on the Frankfurt Stock Exchange.
The offer period is expected to commence on 18 June and expire on 25 June.
The offering will consist of up to 49,335,000 common shares in the company: up to 42,900,000 new shares from a capital increase against cash contributions; and up to 6,435,000 over-allotment shares made available through a securities loan covered by a primary greenshoe option that utilises the company’s authorised capital. The total number of over-allotment shares will not exceed 15% of the number of new shares actually placed in the offering.
Global Fashion Group sells over 10,000 global, local and own fashion brands across Asia Pacific, Latin America and CIS, and operates e-commerce platforms The Iconic, Zalora, Dafiti and Lamoda. It plans to raise approximately EUR300m (US$339m) in the planned offering.
The company intends to use the money raised to “fuel continued growth by investing in the technology platform, customer acquisition, and fulfilment and delivery infrastructure, including automation, as well as other general corporate purposes.”
“This is a very exciting and important next step for GFG,” say Christoph Barchewitz and Patrick Schmidt, co-chief executive officers. “Through an IPO we will be able to invest in further strengthening our end-to-end customer proposition, continue our path to profitability and reinforce our position as the leading fashion and lifestyle destination in growth markets.”