Shares in CVC jump on market debut
Shares in CVC Capital Partners sparked on Friday, as trading got underway in the European private equity firm.
The offer price was set at €14, giving CVC a market debut of €14bn. But strong demand for the market debut saw trading on Euronext Amsterdam get underway at €17.34.
The initial public offering was multiple times oversubscribed and is on course to be one of Europe’s biggest this year.
CVC, which has around €186bn in assets under management, said it expected to receive gross proceeds of €250m from the market debut, based on the offer price.
Founded in the 1990s by a group of former Citibank executives, CVC has since grown to become of Europe’s largest private equity firms.
It has invested in a range of companies and organisations, from luxury watchmaker Breitling to Spanish football league La Liga.
As well as issuing new shares, existing shareholders – including sovereign wealth funds CIC and Kuwait Investment Authority as well as co-founder Donald Mackenzie – are selling down their stakes.
Proceeds from the IPO will be used to fund further growth, including acquisitions.