Pirelli, Banca Imi: “Extraordinary interest in the operation.” Here are all the details of Ipo Pirelli who, after two years of absence, return to the Stock Exchange: on Monday, September 18, the roadshow started for the listing that will end in two weeks, while the official debut at the Business Square is set for next 4 October. On the market, the share will be between 35% and 40%. Pirelli’s valorization will be between 6.3 and 8.3 billion euros (about $11 billion, source: Pirelli Reportedly Racing to Milan IPO Valued at Nearly $11 Billion).
From pre-marketing activities, there is an extraordinary interest in the operation, not only at the Italian level but also internationally. This is the most important Ipo of 2017 in Europe. Today is an important day not only for Italy but for the economy of the entire “old continent”. Those are the words of Marco Graffigna (Banca Imi), sponsor of the operation and responsible for the public offer as well as one of the coordinators of the operation, at the opening of the press conference for the presentation of the quotation on Pirelli Stock Exchange.
Marco Tronchetti Provera, Pirelli vice-president, says that Pirelli’s IPO could be the largest in EMEA this year and that the company returns to Piazza Affari profoundly renewed with a great focus on the high-value segment of the tires and with a much stronger financial structure. All this allowed the company today to have a value greater than when it left Piazza Affari two years ago.
The aforementioned added that Pirelli has been able to redude debt thanks to 600 million from the separation of truck activities, 1.2 from billion capital increase and 500 million of new cash flows: this has produced a very fast debt reduction that allowed it to “land” on the stock market before the expected time.
Pirelli left the Italian Stock Exchange in 2015, following ChemChina’s deal. At the end of Ipo, the Chinese company will have a share of Pirelli’s capital reduced from 65 to 45%. Reductions also for Lti, from 12.6 to 5%, and for Camfin consortium, from 22.4% to about 10%.
Tronchetti will remain stable in its current position until 2020, after which it will play a key role in designating its successor: To the question of who might be his successor, Provera replied: ‘The name is always inside an envelope, although I have to say that in recent years it has changed often.’
It’s a historic event for Pirelli, a 145-year old startup that goes to the stock market.