Groupe Dynamite Inc. announced Tuesday the successful closing of its previously announced initial public offering which was oversubscribed with significant support from institutional investors from both Canada and the US.
“As we embark on this exciting new volume of Groupe Dynamite’s story, I am incredibly proud to lead an entrepreneurial and inclusive organization guided by strong values which transcend all of our actions and where everyone is rowing in the same direction. Together, we are united in our passion for building meaningful, emotional connections with our customers and we are more aligned than ever as owners in our commitment to driving Groupe Dynamite’s long-term growth and creating value for all our stakeholders,” said Andrew Lutfy, Chief Executive Officer and Executive Chairman of Groupe Dynamite, in a news release.
“With a luxury-inspired mindset and a dedication to innovation and excellence, we are shaping a future where our brands remain inspiring and impactful. By harnessing our distinct brand identities, profound customer insights, disciplined execution, and adaptability, we are well-positioned to achieve enduring success.”
Pursuant to the offering, selling shareholders controlled by Andrew Lutfy sold an aggregate of 14,285,715 subordinate voting shares at an offering price of $21 per share, for aggregate gross proceeds of approximately $300 million. The underwriters have also been granted an over-allotment option to purchase up to an additional 2,142,857 subordinate voting shares at a price of $21 per share for additional gross proceeds of approximately $45 million if the over-allotment option is exercised in full. The over-allotment option can be exercised for a period of 30 days from the closing date of the offering, according to the news release.
The offering was made through a syndicate of underwriters led by Goldman Sachs Canada Inc., BMO Nesbitt Burns Inc., RBC Dominion Securities Inc. and TD Securities Inc., as joint lead bookrunners, and Barclays Capital Canada Inc., Desjardins Securities Inc., National Bank Financial Inc. and Scotia Capital Inc., as bookrunners, and including Canaccord Genuity Corp., CIBC World Markets Inc. and Stifel Nicolaus Canada Inc., explained the company.
Groupe Dynamite operates retail stores and digital experiences under two complementary banners and .
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