Shares of Canada Goose debuted above its projected range in its initial public offering and flew upward in its first day of trading.
The IPO offering of 20 million shares was priced at CA$17, or about U.S.$12.78 and opened at U.S.$18.05 in trading on the New York Stock Exchange. By late Thursday afternoon, shares had settled to close at U.S.$16.08, up 25.8 percent from its IPO price.
The offering price of CA$17 was above an initial expected range of between CA$14 and CA$16. The IPO raised CA$340 million, or about U.S.$255 million. As projected, the offering Canada Goose is valued at about U.S.$2 billion.
Canada Goose listed its stock on both the New York Stock Exchange and on the Toronto Stock Exchange under the ticker symbol “GOOS.”
Last year, Canada Goose recorded net income of C$26.5 million on revenue of C$290.8 million. That’s up from C$14.4 million in net income on C$218.4 million in revenue a year earlier.
Reiss received C$65 million from the IPO, selling 3.85 million shares at C$17 each. He maintains a 24 percent stake in the company. Bain will hold a 57 percent controlling interest in the company after the IPO, filings show. When Bain Capital acquired a 70 percent stake in Canada Goose in 2013, the company was valued at about $250 million, sources told Bloomberg.
Goldman Sachs, Credit Suisse, RBC Capital Markets and CIBC Capital Markets were lead underwriters on the deal.
Photo courtesy Canada Goose
