• Home
  • Executive
  • Management
  • Celebs’ favourite jeans brand, Mavi, to list on Istanbul’s stock exchange

Celebs’ favourite jeans brand, Mavi, to list on Istanbul’s stock exchange

By Angela Gonzalez-Rodriguez

loading...

Scroll down to read more

Management

Turkish clothing retailer Mavi Giyim, manufacturer of celebrities’ favourite denim collections in the region, is getting ready to list on Istanbul's stock exchange. This will be the first initial public offering (IPO) of shares on the Turkish bourse after a coup attempt ten months ago.

The offering will see 50 percent of the company sold by the founding Akarlilar family and Turkven, a private equity fund which invested in Mavi in 2008. They may also sell up to an additional 15 percent, Mavi said in an official statement earlier this week.

It’s worth highlighting that Turkven also holds investments in shoe retailer Flo and fast fashion chain Koton.

Mavi shares will be offered to international institutional investors, and domestic retail and institutional investors, Mavi said.

Goldman Sachs is acting as global coordinator and, together with Bank of America Corp's Merrill Lynch, as joint international bookrunners. Turkey's Is Yatirim is acting as domestic coordinator and bookrunner for the global offering.

Mavi’s IPO, a test for the battered post-coupe Instanbul’s stock exchange

Last year Mavi registered a consolidated revenue of 1.31 billion lira or 368.11 million dollars, and an EBITDA of 170.2 million lira. Yavuz declined to disclose the target valuation but said the company viewed Inditex and H&M as comparable, as well as local players, reported Reuters over the weekend. In March, Bloomberg, quoting anonymous sources with knowledge of the move, reported that the IPO could value the company at about 800 million dollars.

In a note to the market, the company’s CEO Cuneyt Yavuz said 82 percent of Mavi's business comes from Turkey, which has a growing and young population. However, the country is still recovering from a coup attempt that took place last summer.

After the political crackdown, the Istanbul Stock Exchange has seen a sharp decline in listings. As revealed by Thomson Reuters data, the amount raised in IPOs since then has plummeted from 119.9 million dollars a year ago to this year’s to date 14.3 million dollars.

When explaining why now, Mavi’s CEO explained that "Our company has come out to be very resilient in terms of the ups and downs of the Turkish market."

Photo:Mavi Jeans, US Web

Mavi