To receive the Vogue Business newsletter, sign up here.
Coty has submitted an application for a dual listing on the Paris Stock Exchange, the company announced on Monday evening.
As part of the plan, the company, which owns beauty brands including Covergirl, Max Factor, Burberry, Chloé and Gucci Beauty, is selling 33 million shares globally to wipe out outstanding debts and make strategic investments in the business. The shares are available to the public in the US and on a private placement basis to investors outside of the US, including in the European Economic Area via the professional segment of Paris’s Euronext exchange, subject to approval from regulators. Coty’s share price fell 1 per cent to $11.70 following the announcement on Monday.
The New York-based company announced in May that it was exploring a dual listing, in a bid to strengthen its position in Europe. Coty has been deepening its focus on its prestige segment, which may be attractive to investors in Europe, who are well acquainted with the luxury sector.
Since the company listed on the New York Stock Exchange in 2013, its share price has fallen 35 per cent. CEO Sue Y Nabi, who took over in 2020, has been working to improve its profitability and clear the beauty conglomerate’s debts following a spree of acquisitions.
The company’s sales grew 5 per cent to $5.55 billion in 2023, on a reported basis. This month, the company upped its guidance and now expects like-for-like sales to grow by 8 to 10 per cent for the full year (up from previous guidance of 6 to 8 per cent).
Comments, questions or feedback? Email us at feedback@voguebusiness.com.
More from this author:
Karoline Vitto is bringing size inclusivity to Milan. Can it scale?
Sephora shuffles executive team
High-spending customers and US market uplift Mytheresa sales
