Saudi Arabian online cosmetics retailer Nice One Beauty has announced plans for an initial public offering (IPO) [1] aiming to raise up to 1.21 billion riyals ($322 million). The company will offer a 30% stake at 32 riyals to 35 riyals per share, valuing the firm at 4 billion riyals at the top end of the price range.
Founded in 2016, Nice One Beauty is the latest in a series of IPOs across the kingdom, which have collectively raised about $3 billion this year. The company has appointed EFG Hermes and SNB Capital as joint financial advisers for the transaction.
Nice One Beauty, the largest beauty and personal care e-commerce platform in Saudi Arabia, offers over 28,000 items from more than 1,200 international and local brands, as well as its own products. The company reported a net profit of SAR 32.6 million ($8.7 million) in 2023, on revenue of SAR 782.4 million. In Q1 this year, it reported SAR 250 million in revenue, a year-on-year increase of 61%.
Their brand, Once, focuses on eco-friendly products designed for everyday use, including special occasions like Hajj and Umrah. This commitment to sustainability reflects the company’s broader goals of providing environmentally responsible products.
Nice One Beauty is also committed to sustainable sourcing. They work closely with suppliers to ensure that the ingredients used in their products are ethically sourced and environmentally friendly. This means prioritizing suppliers who adhere to sustainable farming practices and fair labor conditions.
Furthermore, Nice One Beauty actively participates in community engagement and environmental initiatives. They support local communities by partnering with organizations that promote environmental conservation and social welfare. This holistic approach to sustainability helps Nice One Beauty make a positive impact on both the environment and society.
The IPO is expected to attract significant interest from investors, especially foreign institutions, reflecting growing confidence in the region’s economy and the company’s sustainable practices. Nice One Beauty’s CEO and co-founder, Omar Al Olayan, emphasized that their ability to stay agile, customer-focused, and environmentally conscious has been instrumental in maintaining their leadership position.
Sources:
[1] Saudi Cosmetics Retailer Nice One Announces $320 Million IPO https://www.businessoffashion.com/news/global-markets/saudi-cosmetics-retailer-nice-one-announces-320-million-ipo/
