The moribund Milan market has sprung – make that vaulted – back to life. On Monday, the bourse played host to the most successful European initial public offering of the year, when Moncler, the luxury brand that makes ski jackets worth $1,500 or more, climbed 50 per cent.
The shares were priced at €10.20 ($15 Canadian), the top end of analysts’ estimates, and closed at €14.97, valuing the fairly small company at €3.7-billion. On Tuesday, the shares fell a bit, to about €14.20. Still, it was a stunning debut. Moncler’s founder and chairman, Remo Ruffini, who owns a third of the company, is now a paper billionaire. His private equity backers, among them Carlyle, have made between three and six times their investment. Prosecco all around.