March 21, 2013 / 2:10 PM / in 5 years

UPDATE 1-Moleskine share sale fully covered - source

* Share sale price range 2.0-2.65 euros per share

* Order books to close on March 27

MILAN, March 21 (Reuters) - Italian notebook maker Moleskine’s share sale has attracted healthy demand including from foreign investors just three days after the process began, a source close to the deal said on Thursday.

The sale, which values Moleskine at up to 561 million euros ($726.50 million), was fully covered by Wednesday evening, the source said, without disclosing the price level for the orders.

The maker of black jotters based on originals favoured by Ernest Hemingway and Bruce Chatwin set a price range last week of 2-2.65 euros per share for the offering.

Moleskine is the fourth upmarket Italian brand to go for a stock market listing in less than two years. Other luxury companies that have listed include shoemaker Salvatore Ferragamo and cashmere specialist Brunello Cucinelli

Some investors said they considered the high end of the price range could be too ambitious for Moleskine, which offers strong margins but lacks the exclusive appeal of some other luxury brands.

“To date demand has generally been at the low end of the range,” one fund manager said.

The listing values Moleskine at up to 561 million euros, or between 22 and 29.1 times 2012 earnings, a discount to Prada and fellow luxury brand Tumi, but above Burberry.

Order books on the listing, run by Goldman Sachs, Mediobanca and UBS, are set to close on March 27, with the company making its market debut on April 3.

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