Industrie De Nora will become the first firm to launch on Italy’s main market since Russia’s invasion of Ukraine halted fresh listings, despite it priced its share offering at the bottom of an indicative range.
Several European firms have postponed planned initial public offers (IPO) owing to market turbulence in recent weeks, with Italian energy major Eni last week postponing plans to sell its retail and renewables operations.
Electrode producer De Nora priced its IPO at 13.50 euros per share, at the bottom of a range going up to 16.50 euros, collecting around 40 percent of the offer from two cornerstone investors.
The business claimed it got orders for 3.5 times the offer at the IPO price, with high interest from institutional investors.
De Nora is generating 200 million euros of fresh cash, while current investors will gain 274 million euros from selling shares. The overall offer will reach 545 million euros if an over-allotment option is exercised.
The Garrone Mondini family, which owns Italian energy giant ERG, and the family office of Ruthi Wertheimer, which specialized in minority long-term investments in sophisticated technology industrial enterprises managed by families and entrepreneurs, have promised to invest up to 100 million euros in the IPO.
The firm will utilize the profits to build its present business and support any acquisitions of complementary companies, a bookrunner said.
The selling shareholders have committed to sell any further shares for 180 days, and the firm for 365 days, one of the bookrunners added.
“A long planning and speedy selling procedure were important for the success of the share sale,” Credit Suisse Head of Equity Capital Markets for Southern Europe Paolo Celesia stated.
Credit Suisse and Goldman Sachs (NYSE:GS) International are joint global coordinators and joint bookrunners for De Nora, while BofA Securities, Mediobanca (OTC:MDIBY) and UniCredit are joint bookrunners.
Latham & Watkins is legal counsel to the corporation, while law firm Pedersoli is assisting the De Nora family and Clifford Chance is advising the joint worldwide coordinators and joint bookrunners.