That's the market value assigned to the rapidly growing Italian footwear company based on the retail price finalized last Friday. The shareholders and their advisors decided to set the initial share price at €4.6 - at the high end of the range of €3.6-4.8 originally requested. They could have asked for more, considering the strong demand for the stock from institutional investors, who oversubscribed the initial offering 11 times over, accepting to pay up to €4.8 a share, and bookings by the public overriding the intial allotment three times over.
Geox' shares will start trading on the Milan Bourse on Dec. 1, and the level of the demand suggests that the 10-year-old company will go for a greenshoe allotment, which has to be decided within 30 days, raising from 25 to 29 percent the publicly traded portion of the equity.
The successful public offering follows a roadshow involving face-to-face interviews with institutional investors in New York, Boston, Paris, London and Edinburgh. Furthermore, Geox placed ads in Italian newspapers inviting everybody to participate in the company's success by becoming a shareholder. The ads quoted Shoe Intelligence for placing Geox in 4th position worldwide among the lifestyle casual brands.