Exclusive: Yachtmaker Ferretti plans private share sale after scrapping IPO

This post was originally published on this site
https://i-invdn-com.akamaized.net/trkd-images/LYNXMPEF9G1E9_L.jpg

By Elisa Anzolin and Stephen Jewkes

MILAN (Reuters) – Italy’s Ferretti plans to bring on board a European private investor after abandoning a planned stock market flotation, the yachtmaker’s chief executive said on Thursday.

Ferretti said it had decided to call off its initial public offering on the Milan stock exchange because it could not get the right pricing, confirming what a source had earlier told Reuters.

“You’ll see, in 2020 a new investor will come on board,” Ferretti CEO Alberto Galassi told Reuters by telephone, adding the private investor could take a stake of around 30% and talks had been going on with them for some time.

Later on Thursday Italian professional audio equipment maker RCF said it too had put its plans to list in Milan on hold, citing adverse conditions on primary markets at home and abroad.

It has been a challenging year for European IPOs, with investor sentiment battered by expectations of an economic slowdown as Brexit and the U.S.-China trade war take their toll.

Recent failed attempts include Kazakh fintech Kaspi.kz’s planned float in London, Germany’s Domicil Real Estate AG and KKR’s pulling of Latitude in Australia.

Galassi said that while the IPO book was covered, meaning there were sufficient investors to buy all the shares on offer, they would not pay a price reflecting Ferretti’s value.

U.S. investors were very few, he said, with the ongoing trade tariff dispute between Washington and Beijing not helping the listing of a company whose main shareholder is Chinese.

Ferretti, which used to trade on the Milan market before it was delisted in 2003, is 86% owned by Weichai Holding Group.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Add Comment