Best & Less (ASX:BST) debuts on the ASX

Company News

by Lauren Evans

Australian retailer Best & Less Group (ASX:BST) has listed on the ASX today, following a successful initial public offering (IPO) that raised $60 million at $2.16 per share.

The company's market capitalisation at the offer price is $271 million. The IPO had significant excess demand and was well supported by institutional and retail investors. The IPO follows a $40 million equity investment from BB Retail Capital (BBRC), a private investment firm founded and chaired by retail entrepreneur Brett Blundy. Mr Blundy will shortly join the Best & Less Group board as BBRC’s nominee.

Best & Less (BLG) operates an omnichannel sales network with a vertical retail model. 86 per cent of sales are generated from BLG’s proprietary brands sold exclusively across its network of 246 physical stores and its online channel.

BLG delivered a strong trading performance in FY21 following continued growth in the babywear, kidswear and womenswear categories, increased average basket size, customer conversion rates and online penetration. 

Shares in Best and Less Group (ASX:BCG) are trading 6.5 per cent higher at $2.30.

Are you a 708 sophisticated investor?

A sophisticated investor is defined under Section 708 of the Corporations Act (net assets of $2.5 million or annual incomes in excess of $250,000).

They are eligible to receive information regarding wholesale investment opportunities that are not available to regular or retail investors.

Please subscribe if you would like to be alerted to these types of opportunities.