Quiz, the Glasgow-based womenswear retailer, has priced its shares at 161p a piece ahead of its flotation on London’s Alternative Investment Market (Aim).
The initial public offering (IPO) will raise £102.7 million and value the company, which was founded by chief executive Tarak Ramzan in 1993, at about £200m when shares start trading on Friday 28 July.
Some £92.1m of the proceeds from the float will go to the chain’s selling shareholders, with the remaining £10.6m being used by the company to accelerate its growth.
• READ MORE: Glasgow fashion brand Quiz planning Aim flotation
Quiz, which employs about 1,350 people, has 73 standalone stores and 165 concessions across the UK and Ireland. It is targeting the opening of about 20 stores and a further 20 concessions in the UK over the next 24 months, along with launching outlets and websites in territories including Australia, Cyprus, Spain and the US.
Ramzan said: “Today’s announcement marks an exciting new phase in Quiz’s growth and development as a leading international omni-channel fast fashion brand.
“We have a well-invested infrastructure, a clear customer focus and a fantastic team and I am delighted that investors have recognised the company’s significant strengths and opportunities with their support.”
Quiz’s revenues have increased by 21 per cent a year since 2015 to reach £89.8m this year, with underlying earnings jumping by 30.6 per cent over the same period to £10.3m.
Online and international channels are the group’s fastest-growing channels, with annual growth of 42 per cent and 64.2 per cent respectively between 2015 and 2017.
The firm is set to appoint Peter Cowgill, the boss of sportswear retailer JD Sports, as its non-executive chairman when it joins the London market.
“I am delighted to be joining a company with such clear and exciting growth prospects and this has been reflected by the strong levels of investor interest received throughout this process,” Cowgill said.
“We are looking forward to achieving further growth and success for all stakeholders as a public company.”
Panmure Gordon is acting as Quiz’s nominated adviser and sole bookrunner, with the capital markets team of accountant RSM advising on the share placing.
Alan Aitchison, RSM audit partner and office managing partner in Glasgow, said: “Quiz is a real success story for Scotland. In a competitive and ever-changing retail landscape, the Quiz brand has continued to grow.
“It has a clear, focused strategy that revolves around ‘fast fashion’ and today’s IPO will help to support the next stage of growth for a forward-thinking UK and international retailer.”