Porsche IPO stock price, listing date – Check details | The Financial Express

Porsche IPO stock price, listing date – Check details

Volkswagen is hoping to generate around $9.39 billion from the initial public offering of its sports-car manufacturer Porsche AG.

Porsche IPO stock price, listing date – Check details
Volkswagen AG will call an extraordinary general meeting in December 2022 and propose a special dividend for its shareholders.

In what could be Europe’s largest listing in more than a decade, Volkswagen AG is hoping to generate between 8.71 billion euros and 9.39 billion euros ($9.39 billion) from the initial public offering of its sports-car manufacturer Porsche AG.

Volkswagen AG had announced that the company decided to launch the IPO of the preferred shares in Porsche AG at the end of September or the beginning of October 2022. Through the IPO, a total of up to 25% of the preferred shares in Porsche AG from the portfolio of Volkswagen AG would be placed with investors.

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Porsche AG IPO price range has been set from EUR 76.50 to EUR 82.50 per preferred share. In total, up to 113,875,000 preferred shares from the holdings of Volkswagen AG are planned to be placed with investors in the course of the IPO. The preferred shares in Porsche AG are planned to begin trading on 29 September 2022.

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In the event that the IPO is a success, Volkswagen AG will call an extraordinary general meeting in December 2022 and propose to its shareholders that a special dividend of 49% of the total gross proceeds from the placement of the preferred shares and the sale of the ordinary shares be distributed to shareholders at the beginning of 2023.

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The German automaker announced that it is aiming for a valuation of 70 billion to 75 billion euros for the IPO, which is lower than its former top-end target of up to 85 billion euros and coincides with a period of significant market turmoil.

According to Jefferies, Porsche would be valued at 10.2 times earnings before interest, tax, depreciation, and amortization at the mid-valuation point for the preferred shares in the IPO. Ferrari’s EBITDA multiple is 23.1 times higher than this. Nevertheless, Porsche’s higher valuation is so close to VW’s 88 billion euro total market value, which includes brands like Audi, Skoda, and Seat in addition to the VW brand. According to a July statement from Porsche, the company is aiming for revenue of up to 39 billion euros and a return on sales of up to 18%.

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