Coty Files for IPO that Could Raise up to $1.06 Billion

Source: Bottega Veneta

NEW YORK, United States — Beauty products company Coty Inc. on Tuesday filed for an initial public offering that could raise up to $1.06 billion for some of its shareholders.

The New York-based company best known for its celebrity fragrances and OPI nail polish said in a Securities and Exchange Commission filing that some of its shareholders plan to sell 57.1 million shares for between $16.50 and $18.50 each. At the midpoint of that range, the offering would generate just under $1 billion.

The company will not receive any of the proceeds.

The shares will be listed on the New York Stock Exchange under the ticker “COTY.”

The offering’s underwriters — BofA Merrill Lynch, J.P. Morgan, Morgan Stanley, Barclays, Deutsche Bank Securities and Wells Fargo Securities — also have the option of buying an additional 8.6 million shares at the IPO price less underwriting discounts.

Coty, founded in Paris in 1904, has managed to successfully broaden its business to cover an array of personal health and beauty needs. While some consumers may not know of the company itself, they more than likely have used some of its brands, which include Rimmel, Sally Hansen and philosophy.

For its fiscal year ended June 30, Coty posted a loss of $324.4 million, or an adjusted profit of $301 million excluding one-time items, on $4.61 billion in revenue. That compared with a fiscal 2011 profit of $61.7 million on $4.09 billion in revenue.

Coty originally filed for an IPO last year, but didn’t proceed with it. Also in 2012, the company dropped its $10.7 billion bid for Avon Products Inc. after the makeup company did not immediately accept its revised offer.

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