Suits maker Bagir Group Ltd. raised $33 million at a company value of $66 million, after money, in its IPO on London’s Alternative Investment Market (AIM) on Friday. The successful IPO follows the cancellation of offerings by several companies, including Israel's Matomy Media Group Inc.
Bagir, controlled by Ishay Davidi's FIMI Opportunity Funds and Zvika Barinboim's SG Textile Ltd., issued 60% of its share capital. Following the IPO, FIMI's stake fell to 20% and SG Textile's stake fell to 15%.
Bagir fell into a severe crisis several years ago, partly because of falling orders by British retailer Marks & Spencer. The company had a shareholders' equity deficit and heavy debts to banks and its controlling shareholders. Under president and CEO Daniel Taragan and chairman Samuel Vlodinger, the company turned around in the past two years, resumed growth and a positive cash flow from operations.
The IPO proceeds gve Bagir a positive equity of $20 million, allowing it to pursue its growth plans. Trading in the share will begin on Tuesday.
Published by Globes [online], Israel business news - www.globes-online.com - on April 13, 2014
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