France-based e-commerce company Showroomprive is looking to raise up to €298 ($339m) in an initial public offering, with China-based online discount retailer Vipshop to buy another $34m of shares.
Showroomprive intends to float on Euronext Paris at a price between €19.50 and €26.30 per share. The company will issue €50m of new shares while the rest will be sold by existing investors Accel Partners and Kilwa Investment.
Founded in 2006, Showroomprive runs an online flash sales site that offers members discounts of up to 70% on designer fashion brands, as well as homewear, toys and electronics.
The company operates in seven European countries, including Portugal and Italy, and intends to shortly to expand to Germany. It had accumulated more than 20 million members by the end of 2014, a year when its annual revenue reached approximately €350m.
Goldman Sachs and Deutsche Bank are serving as joint global coordinators and bookrunners for the IPO, while BNP Paribas and Société Générale Corporate & Investment Banking are joint bookrunners.
The underwriters have the option to buy up to €45m of extra shares which, together with Vipshop’s investment, could raise the size of the offering to €373m.