EQT’s Skincare Firm Galderma Likely to Price IPO at Top of Range
(Bloomberg) — Skincare company Galderma Group AG is expected to price its 2.3 billion Swiss-franc ($2.6 billion) initial public offering at the top of the range, in what is set to be Zurich’s largest listing in years.
Investor orders below 53 francs apiece risk missing out on the transaction, according to terms seen by Bloomberg. The EQT AB-backed company’s shares were being marketed at 49 to 53 francs apiece through March 20.
The new stock is set to be admitted to trading on Friday. This is likely to be Switzerland’s largest listing since Swisscom AG raised over $5 billion in an IPO in 1998, according to data compiled by Bloomberg.
Galderma’s flotation is a long-awaited sign that Europe’s IPO market is bouncing back after having been dragged down by weak investor appetite amid rising rates and inflation for much of the past 18 months. With the broader European stock markets notching up new records, German perfume retailer Douglas is also set to price its IPO this week.
EQT led a consortium that acquired Galderma for 10.2 billion Swiss francs in 2019. It’s been exploring an IPO of the former Nestle SA unit since 2021 but put listing plans on hold after the global market for such deals stalled last year amid heightened inflation and volatile markets.
Galderma was founded in 1981 as a joint venture between L’Oreal SA and Nestle. The company, which runs four manufacturing sites, reported about $4.1 billion in net sales in 2023, its website shows.
The company is best known for skincare products, particularly is popular Cetaphil range, as well as Alastin. The larger chunk of its revenue comes from so-called aesthetic injectable – a fast-growing segment encompassing treatments such as Botox and fillers, with increasingly younger women flocking to these “preventative anti-aging” solutions.
Goldman Sachs Group Inc., Morgan Stanley and UBS Group AG are the joint global coordinators of Galderma’s IPO.
–With assistance from Alexandra Muller.
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