April 26, 2024
Today at
09:12
Update
to
April 26, 2024
10:14
The private equity player CVC will list on the Amsterdam stock exchange on Friday. Investors are welcoming the newcomer enthusiastically: the share is trading almost a quarter higher.
The IPO price for CVC was set on Friday at 14 euros, the middle of the proposed price range (13 to 15 euros). At opening, the share price was 23 percent higher on the Damrak to 17.34 euros, making the IPO seem a success.
The issue of new shares generated 250 million euros for the company. In total, CVC raised 2.3 billion euros because early shareholders sold some of their shares. Due to strong demand for the shares – to which only institutional investors could subscribe – the total proceeds were 500 million euros higher than the company previously expected.
Blue Owl Capital, another listed US private equity player, bought 10 percent of the offered shares. Blue Owl also had an interest in CVC before the IPO.
An investment in CVC is an entry ticket to a major European private equity player, a company that invests in unlisted companies, with a more cautious risk profile. This allows investors to anticipate a possible recovery of the private equity sector, which – judging by the high discounts on the intrinsic value – is still in disarray.
