Aritzia Rises 16% in Toronto Stock Exchange Debut After IPO
By Doug Alexander, Bloomberg News
Aritzia Inc., the Canadian women’s fashion retailer, rose 16 percent in its trading debut after raising $400 million in its initial public offering.
Shares of the Vancouver-based retailer jumped to $18.51 at 9:06 a.m. in trading on alternative markets in Toronto, up from its $16 IPO price.
Company founder Brian Hill and Boston-based private equity firm Berkshire Partners sold 25 million subordinate voting shares of Aritzia in its offering, the largest Canadian IPO of the year. Banks arranging the sale have an option to sell an additional 15 percent of the offering, which would lift the total to $460 million.
Aritzia was started in 1984 by Hill, who’s the current chief executive officer. Berkshire Partners bought a majority share in the retailer for an undisclosed sum in 2005. The company, which sells clothes and accessories aimed at women aged 15 to 45, has 75 locations across North America, including in New York, Toronto, Montreal, Boston, Chicago and San Francisco.