Nexi's landing at Piazza Affari is getting closer and closer. The company specializing in credit cards and electronic payment systems aims to place the shares, to arrive at the listing before Easter. It will be the largest IPO of 2019 for the Milan Stock Exchange and will probably keep this record until the end of the year. The offer will be addressed only to institutional investors.
According to estimates, Nexi is worth between 6,5 and 7,5 billion (including a debt of about 2,5 billion), which is equivalent to a multiple of 12-15 times the Ebitda, which should be around 530- 540 million at the end of 2018. The free float will be 35%, plus the greenshoe of which a minority part, about a quarter of the offer, will be in capital increase.
The selling shareholders are finalizing the details of the IPO together with the five banks acting as global coordinators: Banca IMI, Mediobanca, Merrill Lynch, Goldman Sachs and Credit Suisse. The shares that will hit the market are those currently held by the private equity funds Advent, Bain and Clessidra.
After the placement, Nexi could start a collaboration - perhaps even a merger - with Sia, another Italian company that deals with electronic payments. Pressing for the marriage is Cassa Depositi e Prestiti, a shareholder of Sia with 35% of Sia. At the moment, however, the dossier is in the background compared to that of the listing.
In view of the IPO, in fact, there is still work to be done. For example, you have to decide how to manage the company's debt, which amounts to about two and a half billion. It will be relieved of the proceeds of the public offer and renegotiated, at least in part. Possible lengthening of maturities and a reformulation of the rate of the bond listed in Luxembourg, which currently pays a coupon of 4%. Private equity fund shareholders should be granted a loan with a guarantee on listed shares, for a figure of around 850 million.
