Big step forward for Dr Martens on stock market debut
Written by Hit Music Radio News on 29/01/2021
Dr Martens shares have risen by almost a fifth in the footwear company’s London stock market debut.
The classic boot brand’s flotation was priced at the top of an indicative range of 370p-per share as the offer was eight times oversubscribed, according to the bookrunners.
The Initial Public Offering (IPO) raised almost £1.3bn in a boost for the firm’s private equity owner Permira and Dr Martens’ own expansion plans.
The offer gave the company a market value of £3.7bn ahead of first dealing in shares on Friday morning that saw the stock hit 440p in early deals.
The apparent success of the debut gives confidence to others seeking flotations in London in the weeks and months ahead including Moonpig, the online personalised gifts-to-greeting cards retailer, and Deliveroo.
Dr Martens chief executive, Kenny Wilson, said of the flotation: “”We have been delighted by the strong levels of interest, engagement and support from such a high quality selection of institutional investors.”
The company is plotting an expansion into China at a time when its core current markets are plagued by coronavirus disruption.
A source with knowledge of the listing told the Reuters news agency on the “lofty” price: “This is a brand business not a retail business and it is very global – it’s not a UK high street name so the impact of Brexit and Covid is far less.”
© Sky News 2020