FRANKFURT (Reuters) - German online furniture retailer Home24 is expected to price its initial public offering (IPO) at 23 euros a share, giving it a market value of 625 million euros ($737 million) including an overallotment option, following its stock market flotation.
“Orders below eur 23 euros per share risk missing out,” the bookrunner said in a note to investors on Tuesday.
Investors have until June 13 to submit purchase orders and the shares are to start trading on the Frankfurt stock exchange on June 15.
Launched in 2009 in Berlin, loss-making Home24 delivers furniture in seven European markets, plus Brazil.
Home24 needs to raise gross proceeds of 150 million euros and the company has set a 19.50 to 24.50 euros a share price range.
It has said it plans to use the proceeds of its listing to invest in property, equipment and technology and to repay outstanding debt. Ecommerce investor Rocket Internet currently holds a 41 percent stake, and other investors include Sweden’s Kinnevik and Baillie Gifford. About 29 percent of the shares will be widely held after the IPO. Berenberg, Citigroup, and Goldman Sachs are acting as joint global coordinators and joint bookrunners for the listing.
Reporting by Arno Schuetze, editing by Louise Heavens