MILAN — A date for the Ermenegildo Zegna Group’s first day of trading has been set.
The Italian men’s wear group will debut on the New York Stock Exchange on Dec. 20. Ordinary shares and warrants are expected to be traded under the ticker symbols “ZGN” and “ZGN WS,” respectively.
In July, Zegna said it was planning an initial public offering in a deal that is expected to give the fashion group a market capitalization of $2.5 billion. The Italian men’s wear giant entered into a business agreement with Investindustrial Acquisition Corp., a special purpose acquisition corporation, sponsored by investment subsidiaries of Investindustrial VII LP.
The initial trading date was set during an extraordinary general meeting held on Dec. 15 by Investindustrial Acquisition Corp. (“IIAC”) that approved the business and merger combination proposals and was reported to the U.S. Securities and Exchange Commission.
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As reported, the initial public offering has already been drawing attention from investors.
Last week, the Italian men’s wear group and Investindustrial Acquisition Corp. said they had agreed “with certain large institutional and other investors” on an additional private investment in a public equity facility of up to $125 million “to accommodate most of the demand.”
This step was agreed upon following “private inquiries from several investors” that have expressed interest in the business combination between IIAC and Zegna.
IIAC has raised total gross proceeds of $402.5 million in its IPO. The new PIPE facility is in addition to the $250 million PIPE facility and the 184.5 million euros (subject to adjustment) forward purchase arrangement with an affiliate of IIAC revealed last July.
The IPO is expected to allow Zegna to further expand globally and continue to build its manufacturing pipeline through acquisitions.
The Zegna family will continue to control the company with a stake of about 62 percent. Investindustrial will have an 11 percent stake and 27 percent would be free floating. Based on the transaction value, the merged entity will have an anticipated initial enterprise value of $3.2 billion.
Ahead of the listing, the men’s wear giant has kicked off a major rebranding project, which will result in the label being known simply as Zegna.