Capital Calls: Greek airport IPO 16 Jan 2024 Concise views on global finance: State-backed Athens International Airport may be able to fetch a 3 bln euro valuation in a planned February listing.
CVC’s German perfume float may fail the smell test 15 Jan 2024 The buyout fund wants to list beauty retailer Douglas in Frankfurt, valuing its equity at roughly 7 bln euros. It’s time for CVC to offload an asset it’s held since 2015. But high debt and slower online sales than peers are reasons for investors to turn up their noses.
Shein’s ‘Made in China’ label clashes with IPO 15 Jan 2024 The fast-fashion retailer is seeking Beijing’s nod to go public in New York. It’s a setback for the Singapore-based company which has tried to distance itself from its Chinese roots. Whatever the decision, it’ll set an awkward precedent for peers like ByteDance’s TikTok.
Permira risks tripping on rushed Golden Goose IPO 21 Dec 2023 The buyout shop may list the fast-growing Super-Star sneakers brand. With its track record tainted by bootmaker Dr. Martens’ poor post-listing performance, the investment firm has little room for error. Hurrying a share sale while the luxury segment faces headwinds seems unwise.
General Atlantic laces IPO shoes with hook nearby 12 Dec 2023 A tech stock recovery coupled with consumer IPO successes bode well for a listing of the growth equity investor. But valuations could recoil as fast as they rose. While General Atlantic knows the value of pouncing quickly, TPG’s path to an IPO shows waiting has merit, too.
IPO wannabes dress up with few places to go 7 Dec 2023 Fast-fashion empire Shein tops the list of hotly anticipated market debuts, at a possible $90 bln valuation. Reddit, Golden Goose, Skims and CVC are among many others poised to sashay. There’s no red carpet awaiting yet; US and UK elections could make one even harder to roll out.
Midea will test China Inc’s welcome overseas 7 Dec 2023 The world’s largest home appliance company plans to use proceeds from a Hong Kong listing to buy global brands. It follows the $48 bln firm’s 2017 purchase of Germany’s Kuka. Outbound M&A has shrunk but a weak Chinese economy provides a growing incentive to pursue deals abroad.
CATL prepares to power up wildest electric dreams 5 Dec 2023 The world’s largest battery maker boasts $14 bln in net cash, making a possible Hong Kong listing seem unnecessary. But the extra funds would help CATL grow in Europe and could potentially fuel explosive expansion in Southeast Asia and the US too.
Capital Calls: Saks and Neiman Marcus 1 Dec 2023 Concise views on global finance: The two luxury retailers are once again contemplating a merger. Fickle consumers, even for high end items, make the marriage ideal.
Geely unit IPO will test geopolitical speed limit 21 Nov 2023 EV maker Zeekr, owned by China’s largest auto group, may raise almost $500 mln by going public in New York. Sales of cars, batteries and research are zooming at home, but plans to list and expand abroad look ambitious unless Beijing’s tensions with Washington and Brussels abate.
Tata Technologies sets smartly low bar for IPO 17 Nov 2023 The EV-servicing firm is the Indian conglomerate’s first listing in nearly two decades. The $2.4 bln valuation at 28 times earnings is well below peers. But most of its business comes from just five clients and Mumbai stocks are expensive. A cheap price may ensure a smooth start.
Renault electric acceleration can swerve IPO 15 Nov 2023 The French carmaker is eyeing 25 bln euros of revenue in 2031 for its battery ride unit Ampere. Capturing the full value of that through an IPO may be tricky in the short term given a sluggish EV market. A listing would be a distraction, and Renault doesn’t really need the money.
IPO laggards’ race to the bottom misses the target 10 Nov 2023 Italy is siding with the UK in changing listing rules to stop firms moving to foreign venues. Greater voting power for founders may appeal to tech or family-owned companies. Yet Rome’s high debt and slow growth mean that, like in Brexit-battered Britain, the exodus may continue.
Profitable Klarna poses IPO valuation conundrum 9 Nov 2023 The pay-later group is making money. Ahead of a possible float, that makes it easier for CEO Sebastian Siemiatkowski to claim he has a viable business. Yet to get an uplift on his last $7 bln price tag, he’ll have to persuade investors to value Klarna like a fintech, not a bank.
Payments mess sends warning on UK IPO revival plan 8 Nov 2023 CAB Payments’ stock fell 80% since its July listing, amid concerns over its business model. It suggests stock markets are already struggling to push back on risky issuers. A new light-touch listing regime may make such accidents more common, and London less appealing for floats.
For global banks, India could soon be worth it 7 Nov 2023 CEOs have descended on Hong Kong for a summit, but investment bankers based in the city are spending time elsewhere in Asia as revenue from China shrinks. In India, IPOs are on the rise and fees are improving. Buyout firms’ behaviour suggests those trends will continue.
Capital Calls: CVC, Grocer wars, Atos 2 Nov 2023 Concise views on global finance: The European buyout group has postponed its plans to list in Amsterdam; British supermarket Sainsbury’s is thriving, which is bad news for rivals like CD&R-owned Morrisons; French IT firm Onepoint has grabbed a 10% stake in ailing peer Atos.
Tough dealmaking conditions dull Waystar’s shine 31 Oct 2023 The healthcare technology firm is angling for a stock-market listing on the back of rapid, acquisition-fueled growth. With a sale looking difficult and heavy debt bearing down, an IPO may be its private equity backers’ best option, but a mooted $8 bln valuation looks steep.
Smithfield US homecoming looks like pig in a poke 30 Oct 2023 China’s biggest pork firm may relist its US unit in New York. With $7.6 bln in market cap, investors don’t seem to attach much value to its 2013 buy. Moving West is a hedge against geopolitics, but a revaluation is unlikely if the Washington-Beijing relationship remains fraught.
CVC may have guard rails against choppy IPO waters 20 Oct 2023 The European buyout firm is prepping a float valued at over 10 bln euros. Market jitters make it an odd time to do so. Yet securing a share-based M&A currency may matter as much as the IPO price, and the buyers could be sovereign funds that can live with post-listing price dips.