December 2, 2021

Cooled by the markets, Volvo lowers its claims before its IPO

Posted on Oct 25, 2021, 11:44 AMUpdated Oct 25, 2021, 12:03 PM

The path to the Stock Exchange is definitely never without problems for Volvo Cars. Three years after having to give up its listing due to Sino-American trade tensions and the slowdown in the automobile market, the Swedish manufacturer must this time revise its ambitions downwards. He no longer expects to raise more than 2 billion euros (20 billion Swedish crowns) at the end of the operation, against 2.5 billion initially hoped for.

The Stockholm Nasdaq listing is also postponed by one day and will be held this Friday, October 29. Volvo’s automotive branch will be introduced at a price of 53 crowns per share (5.30 euros), the lower end of the indicative price range previously set (between 53 and 68 crowns). Its Chinese owner, Geely, will not exercise the option that would have allowed it to extend the size of the operation either – the free float is expected to be between 16 and 17.9% of the capital, whereas it was previously mentioned. ‘here a share between 19.5 and 24%.

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