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Groupe Dynamite Inc. shares fell 2 percent in Toronto after its C$300 million ($215 million) initial public offering, Canada’s first corporate listing since March 2023.
Shares in the Montréal-based retailer, which has 300 stores in the US and Canada under the Dynamite and Garage brands, traded at C$20.58 each as of 10:13 a.m. in Toronto, after pricing the offering Wednesday at C$21 per share.
The trading gives Groupe Dynamite a market value of about C$2.2 billion, and chief executive officer Andrew Lutfy’s stake around C$1.9 billion.
The fast-fashion retailer’s listing is Canada’s first corporate IPO since Lithium Royalty Corp. raised C$150 million in February 2023 and the largest since Bausch + Lomb Corp. raised C$889.3 million in January 2022.
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The company said late Wednesday it had signed an agreement to go public at C$21 per share, which is the middle of the C$19 to C$23 range it announced last week.
Fast-Fashion Retailer Groupe Dynamite Seals $215 Million IPO
Lutfy will retain about 87 percent of the company’s shares and 98.5 percent of the voting rights.
The offering was led by Goldman Sachs Canada Inc., BMO Nesbitt Burns Inc., RBC Dominion Securities Inc. and TD Securities Inc., with other institutions including Scotia Capital Inc. and Desjardins Securities Inc. as part of the underwriting group. The shares are trading in Toronto under the symbol GRGD.
By Geoffrey Morgan
Learn more:
Groupe Dynamite Aims for $1.7 Billion Valuation in Canadian IPO
The company seeks to raise C$300 million in its Canadian IPO, positioning CEO Andrew Lutfy for a potential $1.7 billion valuation and billionaire status.
