Private equity firm CVC Capital Partners Ltd. is weighing options to sell or make an IPO for its German perfume and cosmetics retailer Douglas Holding AG, Reuters reported, citing three people close to the matter.
The firm is working with Goldman Sachs on a potential initial public offering or a sale, the news outlet said, citing the people, who added that no decision is imminent and any listing would unlikely happen before the second half of 2020.
CVC and Goldman Sachs declined a request for comment by Reuters, while a Douglas spokeswoman said any decision was up to the owner.
In 2015, CVC paid almost €3 billion for a majority stake in the retailer to Advent International Corp., which had delisted the chain from the Frankfurt stock exchange two years earlier.
Peers including Walgreens Boots Alliance trade at about eight times their core earnings, while Sephora's parent company LVMH trades at a higher multiple unlikely to be reached by Douglas in any deal, sources told Reuters.
Douglas' family owners Kreke still retain a minority 15% stake.