During the Ambrosetti Forum in Cernobbio, Stefano Donnarumma, new CEO of the State Railways (Fs), faced the theme of opening up capital to private individuals. “I am open to the possibility of evaluate a possible opening of the capital, if would be advantageous from a financial point of view to promote the development of the company's investments", declared Donnarumma. A step that would represent a turning point for the group, but Donnarumma underlined that the decision will be taken with extreme caution, taking into account the peculiarities of the Italian railway infrastructure. And then, explains the CEO, the “decision is up to the shareholder” or the government through the mef.
Next steps: study and adapt the strategy
The path to the opening of the capital is not yet defined in detail. Donnarumma has declared that it will be It takes a few months to develop a clear strategy: "I expect to have clear ideas on various things regarding the group between now and the end of the year". The CEO also clarified that there is no specific mandate for the privatization of FS, but he indicated theexistence of a study prior to his arrival, which will be reworked together with his team to adapt it to the current strategic needs of the group.
Possible Scenarios: From Privatization to IPO
The opening of the capital could be just the first step towards a more radical change. Donnarumma has in fact mentioned the possibility of a future IPO (Initial Public Offering): “The listing is almost always the consequence of such a path.” However, he warned that the the timeframe for a possible stock market listing would not be short, estimating “at least a couple of years” to complete a process of this type. The opening of capital would therefore represent an initial phase, to be faced with prudence and foresight.
The final decision is in the hands of the shareholder
Despite the ongoing analyses and evaluations, Donnarumma has underlined that the final decision on the opening of the capital of FS it will be up to the Government, represented by the Ministry of Economy and Finance (MEF). "The decision will be up to the shareholder in any case," he said, indicating that the group's management has the task of developing strategies and proposing them, while the final word on a possible opening of the capital or privatization remains in the hands of the public shareholder.
A choice to be made with caution
The new CEO concluded his speech by reiterating the need for a cautious approach towards the opening of the capital of Fs: "the railways have a very peculiar nature as an infrastructure, so any decision in this direction must be taken with great caution". The complexity of the path and the long-term implications require in-depth reflection and the consent of the Government, making the possible opening of the capital a process to be carefully evaluated.
FS: 9,8 billion of the PNRR spent
During his speech at the Cernobbio Forum, Donnarumma also illustrated how investments and PNRR resources will contribute to improving the Italian railway network, with particular attention to the development of High Speed and the strengthening of regional transport. The Group has already used approximately 9,8 billion euros from the Pnrr and Pnc (National Complementary Plan) funds and currently has 1.400 active construction sites, with a total of 25 billion in investments on the network. Donnarumma underlined that all the timetable targets have been achieved. “The executive part of the investments has begun in recent months – said Donnarumma – we have approximately 25 billion in investments on the railway network and 1400 construction sites active at the same time”. Necessary, explained the CEO, “to implement such a complex infrastructure with investments never seen before in terms of volume”.
