Bike maker launches firstGerman IPO in two years
5 May 2004 , FRANKFURT – A German bicycle manufacturer has launched the country's first initial public offering since the end of 2002.
5 May 2004
FRANKFURT – A German bicycle manufacturer has launched the country's first initial public offering since the end of 2002.
Mitteldeutsche Fahrradwerke (MIFA) plans to raise nearly EUR 14 million next week and to obtain a regular listing on the Frankfurt Stock Exchange the week after.
The company produced 535,000 cycles last year, mostly no-name bikes which were subsequently sold through German supermarkets, for revenues of EUR 63.3 million. The company says it can produce up to 1 million bikes a year.
The five-day IPO, beginning Monday, involves 1.5 million shares at EUR 9.25 apiece, the company said from its base in Sangershausen in the eastern German state of Saxony-Anhalt.
Germany's last IPO was by Swiss-based Erotic Media in November 2002. Other companies contemplated offerings last year, but caught fright at the weak state of the market. Frankfurt brokers said there was a "satisfactory" level of interest in the MIFA shares.
Subject: German news