The investment arm of La Caixa, Criteria, has acquired 3.05 percent of Puig, a cosmetics, fragrance, and perfumery group, during the share offer period opened recently by the Barcelona company and which closed on Tuesday. The committed investment amounts to 425 million euros.
The Puig family, owning the group that will debut on the stock market next Friday, will retain 71.7 percent of the capital and 92.5 percent of the voting rights. The offering price was set at the upper end of the expected range, 24.50 euros, valuing the company at 13.9 billion euros, according to information provided to the National Securities Market Commission (CNMV) by Puig.
The company issued B shares to qualified investors, including Criteria, with these shares carrying one vote per share as opposed to five votes per A shares held by the Puig family. As a result of the operation, the company will receive a total of 3.0 billion euros from the primary portion of the offer. There is also a tranche of up to 390 million euros granted to Goldman Sachs Bank Europe SE as stabilization agent for the offer.
Oversubscribed Offer
The offer has been oversubscribed multiple times across the full price range, evidencing strong demand from both international and national institutional investors, according to Puig. Marc Puig, the group’s chief executive, said the company is opening a new and decisive chapter in its 110-year history. The primary tranche of the offering consists of 51,020,408 new shares, generating 1.25 billion euros in new funds for the entity. These funds will be allocated to general corporate purposes, including refinancing acquisitions of minority stakes in Byredo and Charlotte Tilbury, and supporting the growth strategy of the portfolio and brands owned by the company.
Beyond the new shares from the offering, 55,510,204 additional shares were allocated to Puig, S.L., controlled by the family holding Exea Empresarial, which will bring in 1.36 billion euros in equity. The overall option to over-allotment granted by the selling shareholder, amounting to about 15 percent of the offering size and up to 390 million euros, can be exercised by the stabilization agent until June 1, 2024.
Criteria emphasizes that Puig’s entry aligns with the holding company’s investment policy to select leading companies in highly attractive sectors with growth potential and value creation. This investment will give Criteria exposure to the fashion and beauty industry, a sector that has shown resilience in crises and has grown at roughly five percent annually for decades.
The pay-out proposal announced by Puig is also highlighted, aiming for a stable and rising distribution of around 40 percent of net profit. This structure fits CriteriaCaixa’s long-term investment approach, seeking dividends that maximize returns while ensuring resources are available for the Fundación La Caixa to carry out its social mission.