The German luxury sports car manufacturer already knows what it will do with the proceeds from the sale of part of its shares on the stock exchange. Porsche also said that the initial public offering on the Frankfurt Stock Exchange will take place on September 29.
Launch of Porsche shares on the market
Porsche plans to float its shares at a price of 76.50 to 82.50 euros apiece. This would mean that the market value of the entire company would be between 70 and 75 billion euros. However, Porsche does not want to list all of its shares, but only a 12.5 percent stake. This follows from the prospectus published by the carmaker in connection with its stock market entry.
Will the company be able to sell shares that high?
If the luxury sports car maker manages to reach the upper end of the price range, it would be the third largest IPO in European history. The initial public offering will take place on 29 September on the Frankfurt Stock Exchange.
The Porsche shares will be divided into two halves, each containing 455.5 million shares. One half will consist of preference shares, the other of ordinary shares. Porsche will offer nearly 114 million preferred shares to investors, but these will not carry voting rights. The carmaker believes the IPO will raise up to 19.5 billion euros, almost half of which it plans to pay out in the form of an extraordinary dividend.