Tag Archives: IPO

Berlin venture fund founders raise with a second German SPAC | Instant News


(Fixed the clutter in the last paragraph)

BERLIN (Reuters) – Berlin’s early-stage venture fund founders are taking steps by launching a blank check acquisition company in Frankfurt that will seek to raise more money than they currently have under management.

However, the trio behind 468 Capital said they had the insight and connections to complete the second launch of a German-listed shell company that will seek to buy up to 4 billion euros ($ 4.8 billion) worth of tech firms.

“There are four more than 10 billion public companies in our zip code,” 468 Capital co-founder Ludwig Ensthaler told Reuters in an interview. We know all of them.

Ensthaler refers to Delivery Hero, now part of the German blue-chip stock index, fashion e-tailer Zalando, food box delivery company Hellofresh and used car platform AUTO1 – all listed in Frankfurt.

Germany’s leading listed tech company has common roots in the Berlin ecosystem that grew around the startup incubator Rocket Internet – that’s where two of Capital’s 468 founding partners came from.

Ensthaler previously worked at Global Founders Capital, a fund supported by Delivery Hero CEO Niklas Oestberg and Hellofresh’s Dominik Richter, while his partner Alexander Kudlich served on Rocket Internet’s board.

Together with Florian Leibert, who is based in the US and has a track record as a software entrepreneur, the partners launched 468 Capital in 2020. The fund manages $ 200 million and has made 27 early-stage investments, according to Pitchbook.

The special-purpose acquisition company, or SPAC, they sponsor – 468 SPAC 1 SE – announced its intention to float on Tuesday night and seeks to raise 300 million euros.

Such a shell company has two years after floating to reach a target and, Kudlich said, the 468 SPAC would probably aim to raise the same amount of money through private placements before finalizing the deal.

With up to 600 million euros to work on, an acquisition worth between 1 billion and 4 billion euros would be in a “sweet spot” that would ensure sufficient free buoys for the combined company of at least 10%, added Kudlich.

468 SPAC is second only to Lakestar SPAC I SE, which raised 275 million euros when it floated in Frankfurt in February with support from German venture capitalist Klaus Hommels.

Joh. Berenberg, Gossler & Co KG acted as the sole global coordinator for the transaction.

Reporting by Douglas Busvine; editing by Madeline Chambers, Larry King

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US Is The Largest Source for Australian Plumbing Technology List | Instant News


Photographer: David Moir / Bloomberg

US is the largest source of list of technologies in pipeline in Australia by number and size, Australian market operator, ASX Ltd. the word. Markets in Britain, Israel, Singapore and Malaysia also have “good engagement,” the company said.

A year after the launch of the 46-member S & P / ASX All Technologies Index, the index has now grown to 75, with the index’s market cap of A $ 160 billion ($ 120 billion). Over the past 12 months, the index has jumped 79%.

The S & P / ASX All Technologies Index has outperformed the ASX 200

Of the 75 members, 58 are Australian, with the rest international including five from New Zealand and five from the US. “The pipeline we have for our current foreign technology list is half a dozen, maybe a few more from the US,” ASX’s Executive General Manager, Publishing Services and Investment Products Max Cunningham said in an interview Thursday.

The latest list of domestic technologies falls into the consumer space and the Internet of things. On March 26, MadPaws pet seating platform opened at A $ 0.29 after IPO at A $ 0.20.

Upcoming tech IPOs include game developer Mighty Kingdom Ltd and fintech firm Propell Holdings, with shares of the two Australian companies expected to start trading in April. The two pending IPOs have a combined value of A $ 17.8 million Bloomberg data.

With “the combination of a strong IPO market and Zoom becoming the new normal, which actually means you can cram more meetings in one day,” Cunningham said he was optimistic for three to four technology IPOs each year from New Zealand and two to three others per year. from another market.

“If we get half that, it would still be a very good result,” he said.

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Brazilian hospital operator care files for IPO | Instant News


SAO PAULO, March 31 (Reuters) – Brazilian hospital chain Care has submitted an initial public offering of around 790.5 million reais ($ 139.42 million), amid a boom in deals in Brazil’s health care sector, according to a securities filing on Wednesday.

The Treatment Plan for the IPO follows a series of stock offerings by the hospital operator. Rede D’Or successfully completed an IPO of 11.4 billion reais in December and rivals such as Kora Saude Participacoes and Dasa are expected to complete a share offering in the coming weeks.

Rising demand for services and an aging population have sparked a deal in Brazil’s health care sector, Reuters previously reported.

Hospital Care and its shareholders plan to sell at least 31 million shares of between 22.50 reais and 28.50 reais. If the entire stake is sold, the bid can increase by 35%. Prices will be set on April 20.

The hospital operator owns, among its shareholders, Brazilian private equity firm Crescera and Elie Horn, founder of Cyrela homebuilder.

It operates 11 hospitals, with 1,206 beds, and also sells healthcare packages, in a similar business model to Hapvida and Notre Dame Intermedica.

Itau BBA, BTG Pactual, Bank of America, XP, Safra and UBS BB will manage the offering. ($ 1 = 5,6700 reais) (Reporting by Aluisio Alves, written by Carolina Mandl; editing by Diane Craft)

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Amazon’s powered food delivery app failed to make its market debut | Instant News


A Deliveroo distributor is seen riding his bicycle with food packages on the road on July 31, 2019 in Madrid, Spain.

Jesus Hellín | Europa Press | Getty Images

LONDON – When Deliveroo choosing London for its long-awaited IPO, the food delivery company was hailed as a “true British technology success story” by UK Finance Minister Rishi Sunak.

But AmazonSupported companies failed to deliver on the first day of trading Wednesday. Stock fell sharply when the market opened, with investors questioning Deliveroo’s ability to turn a profit and a tantalizing valuation of £ 7.6 billion ($ 10.5 billion).

“It is the path to profitability that is potentially under threat if we look at increased regulation around workers’ rights,” Sophie Lund-Yates, an equity analyst at Hargreaves Lansdown, told CNBC’s “Street Signs Europe”.

“I think that’s the biggest reason we saw so much anxiety being injected into the trade this morning.”

The food delivery app – founded and led by American entrepreneur and former Morgan Stanley analyst Will Shu – has become one of the UK’s most famous start-ups. The app employs more than 2,000 people in 12 markets, and uses a network of more than 100,000 motorists to deliver food from 115,000 restaurants and wholesalers. By market value, its IPO is the largest in London since then Glencore went public nearly a decade ago.

But the stock received a cold reception from investors. Deliveroo has been plagued by concerns over the risks of its business model if regulators crack down on the show economy. Uber reclassified all of its 70,000 British drivers as workers are entitled to minimum wages and other benefits earlier this month, after the Supreme Court ruled a group of application drivers should be treated as workers.

Deliveroo issues its shares for just £ 3.90, right at the bottom of its starting range. However, shortly after trading began on the London Stock Exchange on Wednesday, the company’s share price had fallen 30% to around £ 2.73 and questions are now being asked about how far it could fall. Theoretically, Deliveroo could cancel the IPO until April 7 because it has chosen “conditional offer.”

In comparison, US rivals By Dash saw its stock jump more than 85% on its opening trading day in December, giving it a market capitalization of more than $ 60 billion at the time. Closer to home, Deliveroo faces stiff competition from companies such as Uber and Just Eat Takeaway. The competition has added to concerns about Deliveroo’s ability to grow its margins and eventually become profitable.

Deliveroo’s listing is led by investment banks JPMorgan and Goldman Sachs, while Bank of America Merrill Lynch, Citi, Jefferies and Numis are also part of the syndicate. The stock was placed in its entirety but that didn’t stop it from drifting, frustrating some early investors with how the investment bank priced the company’s shares.

‘Flopperoo’

Some of the top institutional funds have avoided Deliveroo’s IPO, citing regulatory risks around its business model and governance. Deliveroo decided to opt for a dual class stock structure, which meant that its founders would have more voting rights than other investors.

While London is pushing for this type of structure to be allowed in the premium segment of its stock market – which makes companies eligible for inclusion in benchmark indexes such as the FTSE 100 – top investment firms complain that this could risk undermining investor protections.

“Deliveroo has gone from hero to zero as the debut of the much-loved stock market failed miserably,” said Russ Mold, director of investment at AJ Bell. “Better get used to the nickname ‘Flopperoo’.”

“The narrative turned for the worst when some fund managers walked out and said they would not support the business because of concerns about work practices,” Mold added. “This may scare off a lot of people who put up shares in the IPO offering, meaning they are racing to get rid of it.”

Deliveroo is trying to convince its UK customers to buy a £ 50 million stake in an IPO through its app. These retail investors – who are able to spend between £ 250 and £ 1,000 on shares – are locked up until April 7, meaning they can’t sell their shares until the restrictions are lifted.

“My investment RIP,” wrote amateur investor and primate expert Sam Elliot on Twitter after seeing the drop in Deliveroo’s share price.

“Thank God I made a minimum investment of £ 250 because I knew it was a risky investment,” he told CNBC.

Fred Destin, a venture capital investor who supported Deliveroo in its early days, is optimistic that the company will recover. “Deliveroo may face some obstacles but I am very optimistic about the long-term opportunities,” he told CNBC. “I think the market will over time realize that this is a resilient and viable business.”

Manish Madhvani, co-founder and managing partner at technology investment firm GP Bullhound, said the preliminary figures were “a bit of a pullback” for London, which is “gaining momentum as a listing destination.”

However, he said it was important to note that the company’s value was still high. “There could be mistakes in pricing given market conditions, but we shouldn’t forget how much really pioneered the Deliveroo model, rather than getting caught up in the headlines,” he said.

Grow into value

Another big concern for investors is the sustainability of high-growth companies like Deliveroo as countries around the world seek to reopen their economies. The launch of the coronavirus vaccine has put pressure on trading in US technology stocks with revenue doubling significantly, such as Zoom in, Netflix and Amazon.

Such companies are benefiting during the coronavirus pandemic due to lockdown restrictions that have resulted in people spending more of their time at home. Zoom, Netflix and Amazon are still up around 107%, 38% and 56% respectively in the last 12 months.

“From a more cynical point of view, conditions are almost as good as they would ever be when everyone was completely locked in their house,” Hargreaves’ Lund-Yates told CNBC, adding that the company “really relied on” stay-at- home trends continued long after the pandemic.

“Is the current assessment justified?” he added. “Unfortunately this is a case of waiting and seeing there. It’s a big question.”

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Exclusive: Shell, Cosan JV Raizen taps into a bank for mega-IPO in Brazil – source | Instant News


SAO PAULO (Reuters) – Brazilian energy company Raizen, a joint venture between Cosan SA and Royal Dutch Shell PLC, has selected four investment banks to manage its initial public offering, expected to be one of the largest this year, raising up to 13 billion. reais ($ 2.25 billion), four people with knowledge of the matter said Monday.

Raizen has selected Banco BTG Pactual SA, Bank of America, Citi and Credit Suisse AG to be the lead banks in the transaction, and is expected to add more syndicates this week, sources added, requesting anonymity to reveal private talks.

Raizen, Citi and Credit Suisse declined to comment on the matter. BTG and BofA did not immediately respond to requests for comment from Reuters.

Raizen, the world’s largest sugar maker, also controls a large fuel distribution network and is Brazil’s fourth largest company by revenue, behind state-controlled oil producer Petroleo Brasileiro SA, known as Petrobras, iron ore miner Vale SA, and packer. JBS SA meat.

Raizen is expected to be listed on Brazil’s B3 stock exchange, said one of the sources, and aims to complete the transaction in June or July.

Cosan, an energy group, disclosed earlier this month that its joint venture with Shell was being put up for listing before the flotation plans of two other companies it controls to raise capital and financial growth.

The joint venture recently acquired Biosev SA, another sugar and ethanol company, from Louis Dreyfus in a cash and stock deal.

As part of the deal, Biosev shareholders will receive 3.5% of Raizen preferred stock, plus 1.49% redeemable share.

One source said Raizen may be worth up to 100 billion reais ($ 17.3 billion).

Raizen is one of the competitors of the Petrobras refinery for sale. They made a bid for the REPAR refinery, in the southern state of Parana, but the process was canceled and Petrobras was expected to relaunch it.

Reporting by Tatiana Bautzer and Carolina Mandl, in Sao Paulo; Edited by Marguerita Choy

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