The owner of the Paco Rabanne brand is preparing for listing

Puig, the Spanish beauty company that owns luxury brands such as Paco Rabanne and Carolina Herrera, is preparing for an initial public offering (IPO) - the largest in Europe - this year, globaldata.com and Reuters have announced.

Scheduled to begin trading on May 3, Puig expects a market capitalization of between 12.7 billion euros ($13.54 billion) and 13.9 billion euros ($14.81 billion), according to Financial Times (FT).

According to the cited source, the IPO will involve the sale of shares worth 3 billion euros ($3.2 billion), representing 21% to 24% of the company's ownership.

The founding Puig family will retain majority control.

Headquartered in Barcelona and with over 110 years of existence, Puig will list its shares on the Madrid Stock Exchange. Goldman Sachs and JPMorgan are the leaders of the IPO process. The offer is the largest in Spain, from 2015 until now, Reuters notes.

The company intends to use the capital raised for "general corporate purposes", including financing further acquisitions, according to the cited source.

The base offering in the IPO is approximately 2.6 billion euros ($2.77 billion) in shares, with an additional allotment option of 390 million euros ($415.66 million) granted to Goldman Sachs.

The bookbuilding process started on April 22 and ends on April 30. The final price of the shares will be determined upon completion of the bookbuilding process. According to Reuters, it will be between 22 and 24.5 euros/title.

According to the FT, Marc Puig, the president of Puig, said: "We believe that the balance that comes from being a family business, which is also subject to market liability, will allow us to compete better in the international beauty market in the next phase of our development".

The IPO positions Puig for significant growth, with the company consolidating its position as a major player in the global beauty industry, according to the source.

Puig had sales of 4.3 billion euros in 2023 and plans to expand into Asia.