Luxury shoe-maker Jimmy Choo reportedly said Tuesday that it will list on the London Stock Exchange next month, to raise money to expand in markets like Asia. The company reportedly said in a statement, according to Agence France-Presse, or AFP, that its owner, JAB Holdings, had agreed to float a 25 percent stake in a partial initial public offering.
The move could value the firm at about 700 million pounds ($1.2 billion) Reuters reported, adding that the deal is being led by Bank of America Merrill Lynch. Jimmy Choo had adjusted core profits (or EBITDA) of 27.6 million pounds in the first half of 2014, and plans to expand into the high-end shoe market, which has become one of the fastest growing categories in the luxury goods industry, according to Reuters. Jimmy Choo shoes sell for anywhere between $500 to $1,000.
“Jimmy Choo is an outstanding business operating in one of the fastest growing segments of the luxury market," Pierre Denis, CEO of Jimmy Choo, said, in Tuesday's statement, according to AFP, adding: “Jimmy Choo is a clear success story with strong momentum and I am confident that our future as a public company can only extend our reputation and position in this attractive sector.”
The brand was founded by Malaysia-born Jimmy Choo and British socialite Tamara Mellon in 1996. With 120 direct outlets, the company plans to open nearly 15 stores a year until 2016, five of which will be in China, according to Reuters.
European IPO issuance levels have increased four-fold this year over 2013, with 177 companies raising $55.5 billion, making London an appealing destination for companies looking to go public, Reuters reported.