Prior to its listing on Nasdaq First North, the subscription period of Candles Scandinavia´s new issuing was concluded during the final days of October. The IPO was heavily subscribed to 254 percent, thus an oversubscription of 154 percent. Carlsquare was the financial partner in the IPO, and will celebrate on November 8th when Candles Scandinavia will ring the Nasdaq bell.
Viktor Garmiani, CEO of Candles Scandinavia AB, commented: “It’s a fantastic feeling to see such strong interest from investors in our company. With the capital raised and the upcoming listing, we can increase our production capacity and build an even stronger platform for growth. The IPO has not only given Candles Scandinavia direct capital market access but also created more visibility and credibility towards our stakeholders.”
Candles Scandinavia AB is a large-scale producer of scented candles made of 100 percent biodegradable, plant-based candle wax. The company offers a sustainable alternative to paraffin wax, which is derived from fossil fuels. Candles Scandinavia targets retail chains and fashion, beauty, and home furnishing brands, such as Rituals, H&M, Lyko, Åhlens and many more, offering a private label solution. Candles Scandinavia is now taking the next step by expanding its production of private label products, which all takes place on the company´s premises in Sweden. Demand and order intake are growing steadily as more customers are becoming aware of the negative impact of paraffin, and that there is now a large-scale producer offering a sustainable alternative.
Paraffin is the most common raw material used in the production of scented candles. However, paraffin wax is produced from the fossil fuel oil, and has therefore been criticized for its negative impact on the climate, environment, and health. Hence, it may seem remarkable that the transition from paraffin wax to more sustainable alternatives has not progressed further. Yet, this is because paraffin is very durable, easy to handle, can withstand rapid temperature changes, and is cost-effective to produce.
Alongside its sustainable candles, Candles Scandinavia´s other revenue streams stem from the company´s additional segments, Brands and Home Party. Brands involves the exclusive distribution rights of both Yankee Candle and WoodWick in the Nordics, whilst Home Party is based on multi-level marketing of the company´s own scented candles.
“Candles Scandinavia is a true growth case with fantastic entrepreneurial inbuilt DNA, so we are happy to be part of the process. For Carlsquare this is another sign that we are not just a leader in M&A but are delivering on our goals in ECM”, says Caroline Berglund, Head of Equity Sales at Carlsquare.
Carlsquare AB is the financial partner in the IPO of Candles Scandinavia.
Alongside, Nordic Issuing acts as project manager and an issuing institution, Baker & McKenzie is a legal advisor to Candles Scandinavia in connection with the rights issue, and Amudova Ab has been appointed the Company´s Certified Advisor.
