MILAN, Jan 31 (Reuters) - EuroGroup Laminations, which
makes electric motor and generator components, said on Tuesday
it was aiming for a market capitalisation of up to 983 million
euros ($1.06 billion) in an initial public offering (IPO) in
Milan.
The planned IPO will follow on from German web hosting firm
IONOS, whose offer for its debut in Frankfurt started on Monday
in a sign that the public listings market is thawing after a
tough 2022.
EuroGroup Laminations said its offer is expected to be
between 416 million and 448 million euros, including the
placement of 250 million euros of new shares.
The rest of the shares will be sold by the five families who
control the group through holding company EMS and by French
private equity group Tikehau.
EuroGroup said it would use the proceeds from the capital
increase to expand its production capacity (including new
production sites), develop new technologies, strengthen its
capital structure as well as further expand geographically.
It also said: "If the opportunity arises, the company may
also pursue external growth opportunities".
EuroGroup Laminations set a price range between 5 euros and
6 euros per ordinary share, corresponding to a market
capitalisation of 861 to 983 million euros after the capital
increase.
The offer is expected to run from Feb.1 to Feb. 8.
EuroGroup makes stators and rotors for electric motors and
generators and expects to make a significant contribution to the
transition to electric vehicles.
It reported revenues of 651 million euros in the first nine
months of 2022, with a core profit margin around 11.8%.
In the IPO, JP Morgan , BNP Paribas , Intesa
Sanpaolo and UniCredit are acting as joint
global coordinators. Rothschild & Co is financial adviser.
Latham & Watkins is acting as legal adviser to the company,
while Linklaters is acting as legal adviser to the joint global
coordinators.
($1 = 0.9249 euros)
(Reporting by Elisa Anzolin. Editing by Jane Merriman)
