READY FOR LAUNCH: Joules, the British premium lifestyle brand for men, women and children, will float on London’s smaller AIM market this Thursday in what has been a fallow period for fashion, retail and luxury initial public offerings in the U.K.
The brand has announced the conditional placing of 7,175,851 new, and 41,261,649 existing ordinary shares at 1.60 pounds, or $2.32, per share with institutional and other investors set to raise gross proceeds of approximately 77.5 million pounds, or $112.3 million.
Rothschild acted as financial adviser to the company, with Peel Hunt the nominated adviser, joint book runner and joint broker. Liberum was joint book runner and joint broker.
Based on the placing price, the market capitalization of the company on admission to trading on AIM will be 140 million pounds, or $203 million.
On admission, the founder Tom Joule, who got his start in business selling colorful clothing from market stalls at countryside events, will hold about 32.2 percent of the issued share capital.
Admission and the start of dealings in the ordinary shares under the ticker JOUL are set to take place Thursday morning.
As reported, Joules’ group revenue increased 50.2 percent to 116.4 million pounds, or $178.1 million, in the two years to 2015, driven primarily by new stores, the continued expansion of e-commerce, and increased sales within existing wholesale accounts, such as John Lewis and Next Label.
Joules has 98 stores in the U.K., with an average of 12 opening each year over the last three years. It also has a fast-growing presence in North America and Germany. It operates across its own retail stores, e-commerce, wholesale, country shows and licensing.
The company has said the money raised from the float will be channeled into the continued U.K. store rollout, international expansion in existing markets; and new product categories.