Bertelli's Bold Move: Prada's Long-Awaited IPO Planned For Hong Kong.(Patrizio Bertelli on initial public offering)

Byline: LUISA ZARGANI With contributions from Amanda Kaiser and Nina Jones

BERTELLI'S BOLD MOVE

Prada's Long-Awaited IPO Planned for Hong Kong

MILAN

Prada SpA is trying yet again.

The Italian luxury goods house said Thursday that it will go ahead with an initial public offering on the Hong Kong Stock Exchange, although it did not specify a time frame or the size of the stake to be sold. Analysts believe an IPO could happen as early as this spring and value the company up to $9.5 billion.

It will be at least the fourth time the firm has aimed for an IPO, having called off the last several attempts due to weak global markets.

"Our strategy of expansion worldwide, carried out with a strict cost-control policy, led to a significant growth in revenues and profitability and further reinforced our position as one of the leaders in the luxury goods market," stated Patrizio Bertelli, chief executive officer of Prada. "Strengthened by these results and confident in the future development of the group, we can now face the coming challenges with serenity and seize the best opportunities offered by the international capital markets."

Banca IMI-Intesa Sanpaolo Group, UniCredit, CLSA-CrA[c]dit Agricole Group and Goldman Sachs will act as joint global coordinators and joint book runners. Bonelli Erede Pappalardo, Slaughter & May and Davis Polk & Wardwell will be the firm's legal advisers.

The pool of banks is no surprise given that Intesa owns 5 percent of the company, with Miuccia Prada and Bertelli controlling the majority 95 percent stake through Amsterdam-based Prada Holding B.V. Davide Mereghetti, a top manager of important …