Pomellato SpA, the Italian jeweler whose trinkets have been worn by Sofia Coppola, plans to sell shares in an initial public offering, Chief Executive Officer Andrea Morante said. “Our objective is to take Pomellato public,” Morante said to Bloomberg,amid reports that shareholder Damiani SpA (DMN) was seeking to divest its stake. The company isn’t currently working on an IPO, which “is more of a 2013 project.” There are no current talks to sell the company, he said.
Pomellato had sales of 122 million euros ($175 million) in 2010 and earnings before interest, taxes, depreciation and amortization of 18.6 million euros. Pandora is currently trading at a ratio of enterprise value to trailing Ebitda of 12.57, according to Bloomberg data.
In the meanwhile, PPR has met with Pomellato, according to two people with direct knowledge of the talks. Neither party is interested in a transaction at the moment, said the people, who asked not to be named because the meeting was private.
The Italian jewelry sector is made up of about 10,000 companies, mostly small and family-owned, meaning a wide choice for foreign investors. The Paris-based PPR is fully aware of this and is seeking to add to its jewelry portfolio as the company reorganizes around luxury goods and sports and lifestyle brands, Chief Executive Officer Francois-Henri Pinault said in February. The Paris-based company has had contact with numerous brands, he said at the time.
The family owners of Damiani, who bought 18 percent of Pomellato in 2002, will weigh bids for the stake in its rival after having been approached to sell, Chairman and CEO Guido Damiani said in an interview in today’s Corriere Della Sera. That was confirmed by a Damiani official. Mediobanca SpA (MB) is advising the family, according to two people familiar with the plans who asked not to be named as the matter is private.
However, the Damiani family’s stake in Pomellato doesn’t hold any rights in terms of governance, Morante said. Upscale jeweller Damiani is the only Italian luxury goods major listed besides Bulgari. The Damiani family bought the stake in Pomellato as a personal investment in 2002.
"The (Damiani) family is happy with its financial investment but it was solicited to consider selling its stake because there is a big interest in independent brands," Guido Damiani, chairman and chief executive of the family company, said in an interview. Shares in Damiani, which is not involved in the Pomellato's stake sale, rose to more than 8 percent, their session high, after the chairman's comments.