Roots To Raise Funds To Expand The Market To Be Listed In Toronto

Following famous

Brand Canada Goose Holdings Inc. (TSE:GOOS; NYSE:GOOS) after the canadian goose is listed, another Canadian trademark retailer Roots Corp. (ROOT) will be listed in Toronto.

Roots Corp.

For the North American market, it operates 120 stores, and operates 130 stores in mainland China and Taiwan through the agent, Hongkong's Feng Shi group.

The IPO, the company is undoubtedly to raise funds to further expand the two major markets.

According to the world clothing and shoe net, Roots Corp. hopes to add 25 stores in the Greater China market, while developing new Asian emerging markets such as Singapore and Malaysia.

According to sources, Roots Corp. hopes to raise 200 million Canadian dollars, making the market capitalization of 700 million Canadian dollars.

In 2016, Roots Corp. revenue increased by 281 million 900 thousand Canadian dollars, an increase of 10% over the same period last year, but net profit fell from $16 million 500 thousand to $8 million 100 thousand.

Roots founded in 1973 by Michael Budman and Don Green.

At the beginning of its founding, the main players were handcrafts and leather goods, and then joined the leisure style.

In 2015, two people sold the controlling rights to private equity Searchlight Capital Partners.

Roots Corp., who invested in the 2002 Winter Olympics in Salt Lake City, has won a reputation in the North American market for the American delegation's sponsorship of clothing. The company has also been a sponsorship brand of the Canadian Olympic delegation.

The company said that despite the limited investment in marketing, the US electricity supplier business is booming, and footwear and leather goods business will broaden the company's revenue source.

Two years ago, the Toronto based company agreed to sell the majority stake to Searchlight Capital Partners, a private equity firms based in New York.

Founded in 1973 by Michael Budman and Don Green, it originated in a small shop in Toronto.

It now has more than 200 retail outlets in Canada. According to its website, the mainland and Taiwan sell products from sportswear and handbags to household products.

The market is promising for the Roots Corp. listing. Craig Fehr, chief investment strategist of Edward Jones Investments, believes that Roots Corp. is favorable for the current listing background, and investors are quite optimistic. Compared with the recent two companies Aritzia Inc. (Corp.) and the Canadian geese, the prospect of the future will be biased towards the latter.

Data show that the stock of Goose Holdings Inc. Canada has surged 41% on the Toronto Stock Exchange since it was launched in March.

Roots Corp. IPO underwriters are CIBC World Markets, Canaccord Genuity Corp and National Bank National.

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