SHANGHAI — Chinese lingerie-maker Aimer Group received the official go-ahead for its initial public offering Wednesday from authorities.
China’s Securities Regulatory Commission approved the Beijing-based firm to debut on the Shanghai Stock Exchange. The company plans to raise 761 million renminbi, or $117.8 million, and to issue not less than 40 million shares.
Aimer will be the fourth Chinese intimate company to go public, after Shenzhen Huijie Group, Cosmo Lady and Embry Holdings.
Aimer as a brand first launched in 1993, but Aimer Group has its roots as an OEM company that dates back to 1981. Although the company first focused on making underwear, over the years it has expanded to categories such as loungewear, athleisure, hosiery and swimwear.
The company prospectus shows the group’s operating income in the three years from 2017 to 2019 grew to 3.31 billion renminbi from 2.94 billion renminbi, while net losses declined from 520 million to 320 million renminbi. The company stated that its loss was due to the transformation plan to upgrade its brands first implemented in 2018.
The raised funds will be used toward marketing, IT upgrades and construction of new manufacturing facilities in Vietnam.
While some of its bras are priced as low as 100 renminbi, some of its higher-end versions can reach to luxury levels around the 1,000 renminbi mark. In addition, its flagship brand Aimer has carried out collaborations with fashion designers such as Vivienne Tam.
According to data from the China Chamber of Commerce, from 2017 to 2019 Aimer has occupied the top spot by market share in the high-end women’s underwear market, and the same goes for its men’s line, Mr. Aimer, in its respective category.
The total market for lingerie in China reached $64.49 billion last year, Frost and Sullivan estimated.