Puig achieves the largest Spanish IPO in over a decade

The operation could be the largest in the European market this year. Puig, which announced its IPO at a valuation range of between 12.7 and 13.9 billion euros earlier this month, finally set its final price at the top end of the range.

The 110-year-old Catalan family company will begin trading on the Spanish stock market (at the Barcelona, Madrid, Bilbao, and Valencia exchanges) on Friday, May 3. The company aims to sell up to 3 billion euros in shares. After the IPO, the Puig family will retain the majority of the capital, holding 92.5% of the company's voting rights through Class A shares and 71.7% of the economic rights.

"Today marks a decisive new chapter in Puig's 110-year history. The price of our IPO reflects very strong demand from investors. It demonstrates the hard work and unwavering dedication of all Puig teams, who show creativity and passion for innovation every day. We are grateful for the support of investors in our strategy to grow and succeed in the global luxury beauty market through our unique portfolio of brands," said Marc Puig, CEO of Puig, in a statement released Tuesday evening.

The group owning Rabanne, Jean-Paul Gaultier and Carolina Herrera fragrances, as well as numerous make-up and skincare brands, increased its sales by +19% in 2023 year-on-year, topping 4.3 billion euros. According to financial results published by the brand, fragrances achieved a historically high market share of 11% in selective distribution, supported by the strength of its own brands. Recently, the group has also invested in niche perfume houses such as Byredo and l'Artisan Parfumeur, as well as in makeup with Charlotte Tilbury. These investments have attracted considerable interest from national and international institutional investors.

While the luxury market is experiencing a slowdown following a long period of prosperity, the beauty market is proving resilient. Some companies, such as L'Oréal and Sephora, owned by LVMH, exceeded expectations at the beginning of 2024. Puig is also among them, reporting a +10.1% increase in net revenue in the first quarter compared to the same period, ahead of cosmetics leader L'Oréal, which recorded a +9.4% increase.

This IPO, seen as historic in Spain, could revitalize the European beauty stock market. Recently, both Galderma and Douglas brands have also been listed in Europe.