MILAN (Reuters) - Italian tyremaker Pirelli unveiled plans on Thursday to raise as much as 3.3 billion euros ($3.9 billion) on its return to Milan’s stock market next month, in a public offer that values the company at less than it had originally hoped for.
Pirelli said in a statement it would issue up to 350 million shares within an indicative price range of 6.30-8.30 euros each, giving it a valuation between 6.3 billion and 8.3 billion euros.
Pirelli’s existing owners, including its controlling shareholder China National Chemical Corporation (ChemChina), had been seeking a valuation of up to 9 billion euros before, sources familiar with the matter said.
Pirelli may also issue another 50 million shares to its bankers under an over-allotment option. If that happens, the total stake sold into the offer would amount to 40 percent.
(Corrects to make clear Pirelli issued price range in a statement, not prospectus.)
Reporting by Francesca Landini; Editing by Mark Bendeich