Germany-based Instone Real Estate Group BV set a per-share price range of €21.50 to €25.50 for its planned initial share offering and listing on the Frankfurt Stock Exchange.
The offering will comprise a base offer of 7 million newly issued shares and the sale of 13,350,000 existing shares, along with an overallotment option of up to 3,050,000 shares made available by Instone's parent company, Activum SG Capital Management Ltd. The price range reflects a market cap of roughly €795 million to €943 million, the company said in a release.
The shares will be offered to institutional investors in a private placement from Feb. 2 to Feb. 13, with listing slated for Feb. 15.
Approximately €55 million of the net proceeds from the placement will be channeled toward the full repayment of an existing shareholder loan. The remainder, estimated to be around €87.2 million to €114.3 million, will be used for the purchase and development of residential projects and for corporate expenses.
Instone and Activum SG are subject to a lock-up of 6 months, subject to customary exemptions.
Credit Suisse and Deutsche Bank are joint global coordinators for the offering. They are also acting as joint book runners, along with BNP Paribas, Morgan Stanley and UniCredit Bank AG.
