Aston Martin IPO orders below 19 pounds/share risk missing out - bookrunners

Share
Aston Martin IPO orders below 19 pounds/share risk missing out - bookrunners

The deadline for orders is 1100 GMT.

The British luxury sports vehicle maker only made its debut on the London Stock Exchange this morning, but nearly immediately shares fell as much as 6.5 percent as both investors and analysts cast doubt over the company's ambitious plan to introduce a raft of new models - a new model every year from 2016 to 2022.

Aston Martin had initially set a range of 17.50 pounds to 22.50 pounds per share, but on Monday narrowed this to 18.50 to 20 pounds saying it had sufficient bid interest to cover all the shares being sold.

Aston Martin's long-awaited debut on the stock market hasn't gone too well.

Shares in Aston Martin fell as much as 6.5 percent during its market debut in London on Wednesday after investors and analysts raised concerns that it may find it hard to deliver on an ambitious rollout of new models.

"We've taken 105 years to get to an IPO, we are not going to worry much on what the initial shares are doing as we will always look over the longer term", Chief Executive Officer Andy Palmer said in an interview with Bloomberg TV.

Shares in Aston Martin Lagonda finally went under the hammer yesterday, but it was an inauspicious introduction to public markets for the luxury carmaker.

'We are delighted by the positive response we have received from investors across the world and are very pleased to welcome our new shareholders to the register'.

The company, which past year made its first profit since 2010 and has gone bankrupt seven times in its history, was due to begin conditional trading on the London Stock Exchange today.

The issue price of GBP 19.00 per share implies a GBP 4.33bn valuation.

In August, Aston Martin reported half-year profits of £42m.

Aston Martin shifted into reverse in its first day of trading Wednesday after pricing its initial public offering (IPO) below the top end of its target range.

The hotly-anticipated move is the largest IPO in the global automotive sector since Italian luxury auto giant Ferrari listed on Wall Street three years ago. The current owners of the Aston Martin Lagonda shares could also increase the offering by 5.7 million shares through over-allotment options, increasing the stake to a maximum of 27.5%.

Share

Advertisement

Related Posts

Vettel didn't want to be 'complete arse' to Hamilton
A sheepish Lewis Hamilton increased his lead in this year's drivers' world championship to 50 points when he claimed an accomplished victory, aided by Mercedes team tactics, in Sunday's Russian Grand Prix .

Tight security as Melania Trump tours
At the front of the room, the first lady sat next to a student called Miliam and helped her find the correct page in her textbook. The US First Lady will then visit the US Embassy in Nairobi wrapping up the only closed-door engagements on her Kenyan visit.

Chelsea's Maurizo Sarri - I hope Alvaro Morata's goal can 'restart' season
Chelsea midfielder Ruben Loftus-Cheek is close to recovery but his return is likely to be on hold for some time as it might be a risk to play him now.

Toyota recalls millions of Prius and Auris hybrids over stalling risk
In 2015, it had to recall 6.5 million vehicles globally over a faulty window switch that was liable to short-circuit. Toyota Prius and Auris hybrids made between October 2008 and November 2014 are the models affected.

Finally An End To The Tampon Tax. Period
But the federal government may have a harder time convincing some states and territories to back its plan to change how the GST is carved up.

Irving plans long-term stay with Celtics
He'll presumably opt out of his contract following the 2018-19 campaign in order to land a wealthier max contract in free agency. The Boston Celtics point guard said Thursday that he plans to remain with the team following the upcoming season.

Justice Dept. announces charges against 7 Russian operatives for cyber attacks
It started when one spy was caught with a mobile phone that had been activated on the GRU's doorstep in Moscow. This indicates a growing global willingness to call out Russian intelligence aggression.

U.S. vice president says China interfering in American politics
She said China was a "builder of world peace " with no interest in meddling in U.S. elections. The PBS NewsHour will update this story as it develops .

Google launches Voice Access to help people with mobility challenges
Tappable elements on the screen are overlaid with small numerals, so you can just call out any number to mimic a tap. After completing the tutorial, Voice Access is ready to use and runs in the background of your smartphone .

'Missing' head of Interpol under investigation in China
French police said earlier they had launched a search for Meng after being contacted by his wife, news agencies reported. He was the first Chinese leader of Interpol , which connects the law enforcement agencies of its 192 member countries.

© 2015 ExpressNewsline. All Rights reserved.