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IPO to Value Ferrari at €10 Billion or More
Ferrari SpA will carry a value of at least €10 billion ($11.1 billion) when its initial public offering launches this autumn, according to Fiat Chrysler Automobiles CEO Sergio Marchionne.
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Ferrari SpA will carry a value of at least €10 billion ($11.1 billion) when its initial public offering launches this autumn, according to Fiat Chrysler Automobiles CEO Sergio Marchionne.
Bloomberg News notes that a €10 billion valuation for Ferrari would represent 60% of FCA's current worth.
The IPO will offer only 10% of the company's shares to outsiders. Piero Ferrari, the son the company's founder, will retain a 10% stake, and the remaining 80% will be distributed to current FCA investors.
Marchionne has been touting the IPO, which will be needed to help FCA pay for its €48 billion expansion plan to push group sales to 7 million units by 2018. He tells reporters Ferrari shares will be offered under the same structure as FCA stock: on the New York Stock Exchange as a Dutch holding of a company financially headquartered in the U.K.
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