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Sanlorenzo sets sail for Milan IPO: Reuters
Posted on Thursday, 19 September 2019 12:14
Days after Ferretti announced its intentions to float, two sources told Reuters rival Italian yacht manufacturer Sanlorenzo is also planning to list on the Milan Stock Exchange around the same time.

The two people with knowledge of the matter said both initial public offerings (IPOs) are expected to be launched in the second half of October.

Sanlorenzo is backed by Massimo Perotti and is said to be planning a free float of around 35.0 per cent via a mix of existing and new stock.

Reuters observed that Unicredit, Banca Imi and Bank of America Merrill Lynch have all been hired as global coordinators for the IPO.

With a history of over 60 years, Sanlorenzo manufactures made to measure yachts to fit customers individual styles.

It has offices across North and South America, Europe and Asia Pacific.

The group reported earnings before interest, taxes, depreciation and amortisation of EUR 37.00 million on revenue of EUR 383.00 million in 2018, according to Reuters, which cited an interview of Perotti with an Italian newspaper earlier this year.

The sources noted that other luxury goods companies such as LVMH, Kering, Hermes and Tiffany trade at an average 14.0x expected core earnings, therefore Sanlorenzo is hoping to fetch a valuation of around the same.

Ferretti, at the start of this week, announced plans to proceed with an IPO on the Mercato Telematico Azionario with a listing to consist of newly issued ordinary shares and a secondary sale of stock held by security holders in a private placement.

The group claims to be one of the world’s largest designers of luxury motor yachts, with models ranging from 8.00 to 95.00 meters in size.

Ferretti said it intends to raise EUR 100.00 million from the flotation and will use the proceeds to support growth and development objectives.

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