ZURICH May 6 Swiss property redevelopment
company HIAG Immobilien IPO-HIAG.S plans to raise as much as
140 million Swiss francs ($159.5 million) in an initial public
offering (IPO) this month to reduce debt and finance ongoing
projects, it said on Tuesday.
The latest in a string of Swiss offerings, illustrating
returning investor confidence in stock market listings, priced
1.7 million new shares in the Basel-based company at 72 to 86
francs per share. Three anchor shareholders also selling 847,500
existing shares, bringing the HIAG's free float to 31.8 percent.
Shares in property sector peers, including Swiss Prime Site
, Mobimo Holding and Allreal Holding,
trade at an average of around 17 times estimated forward
earnings, according to Thomson Reuters data.
Founded in 2008, HIAG Immobilien redevelops former
industrial and commercial sites to create new residential and
office properties. At the end of 2013 its portfolio was valued
at 1.065 billion Swiss francs ($1.21 billion), generating
annualised property income of 46.6 million francs.
Bookbuilding begins on Tuesday and is expected to complete
on May 15, HIAG said. The new shares will begin trading on the
SIX Swiss Exchange on May 16.
Credit Suisse is the sole bookrunner and Bank
Vontobel is acting as co-lead manager.
The three anchor shareholders also granted the syndicate
banks an overallotment of up to 255,000 shares, which can be
exercised within 30 calendar days after the first day's trading.
HIAG's offering follows April listings by Swiss online
travel company Bravofly Rumbo Group and lender
Thurgauer Kantonalbank, raising 105 million francs and
160 million francs respectively.
($1 = 0.8778 Swiss Francs)
(Reporting by Joshua Franklin; Editing by David Goodman)