Itinere sees EUR 1.3 billion from sale of 29 percent stake

11th April 2008, Comments 0 comments

The share will be offered at a price of between EUR 4.14 and EUR 5.10 per share.

11 April 2008

MADRID - Itinere, the toll-road operator division of Spanish construction group Sacyr Vallehermoso, said Thursday it plans to offer 29 percent of its capital to the public at a price of between EUR 4.14 and EUR 5.10 per share.

The National Securities Commission (CNMV) has approved the offer documents, a copy of which were posted in the CNMV's website.

The share offer is the first one this year on the Spanish exchange, which, like stock markets across the globe, has been hit by heavy turbulence due to the international credit crunch.

The IPO includes a capital increase of 88.2 million shares and the sale of 150 million existing shares. The deal values Itinere at between EUR 3.369 and 4.150 billion. Proceeds from the sale would generate up to EUR 1.34 billion.

The operation includes a greenshoe, or over-allotment, option allowing the coordinators for the offer to sell a further 23.82 million shares depending on demand.

The price range is at a discount of between 27 and 40 percent of the Itinere share price. Sacyr holds 90.1 percent of Itinere, which has a market free float of only about 2 percent of its capital. Sacyr, which is looking to reduce its debt, could receive up to EUR 886 million from the sale.

Itinere is planning to sell 35 percent of the offer to retail investors, 15 percent to Spanish institutions and the rest to foreign funds.

[El Pais / Adrian Soto/ Expatica]

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