Thyssenkrupp AG’s Nucera hydrogen unit is seeking to raise as much as €566 million ($615 million) in an initial public offering as it attempts to navigate a tricky market for European listings.
(Bloomberg) — Thyssenkrupp AG’s Nucera hydrogen unit is seeking to raise as much as €566 million ($615 million) in an initial public offering as it attempts to navigate a tricky market for European listings.
Thyssenkrupp and Nucera’s other shareholder, Italy’s Industrie De Nora SpA, will sell as much as €85 million combined if there’s enough demand in the Frankfurt listing to place additional shares with investors, according to statements from the companies. The offering would value the company at as much as €2.7 billion.
The IPO drew two big name investors: Saudi Arabia’s Public Investment Fund may take as much as €163 million of the offering, while BNP Paribas Asset Management is buying up to €85 million of the share sale for its energy transition fund.
Nucera shares will be marketed to investors at €19 to €21.50 each, with a final price expected July 5 and the new stock set to start trading on July 7, the deal terms show.
Thyssenkrupp, which owns 66% of Nucera, plans to remain a majority holder. Industrie De Nora, which owned the remaining 34%, said it’s committed to continuing its long-standing partnership with Thyssenkrupp and Nucera.
Nucera builds plants that generate hydrogen gas from renewable sources of energy such as solar and wind. Hydrogen converts to electricity without greenhouse gas emissions when fed through a fuel cell or burned in a turbine, and can also be used for energy storage.
Volatile Markets
The unit’s planned listing last year was derailed by heightened inflation, rising interest rates and increasingly volatile markets that spooked investors and issuers alike.
Europe’s IPO market is struggling to rebound from a deep slump, with issuers buffeted by sharp swings in equity prices. European companies have completed $3.5 billion of IPOs this year, down 44% from the same period in 2022, according to data compiled by Bloomberg.
Citigroup Inc. and Deutsche Bank AG are leading Nucera’s IPO, with Commerzbank AG/Oddo BHF, Societe Generale SA and UniCredit SpA in cooperation with Kepler Cheuvreux working as joint bookrunners.
(Adds cornerstone investors in third paragraph. An earlier version of this story was corrected to clarify the currency of the offer valuation.)
More stories like this are available on bloomberg.com
©2023 Bloomberg L.P.