A company that has accounts in place, which has reduced the debt and was able to go to the stock market quickly. ” Here, in summary, the “new” Pirelli, as Marco Tronchetti Provera tells it on the eve of his return to the Piazza Affari set for October 4th, at the end of the road show that began on Monday September 18th under the Bicocca Tower.
“Pirelli reports growth ahead of IPO, nobody has invested as much as we have in these years – emphasizes Tronchetti Provera – We have grown in terms of production capacity and we have declined the low range tires. It’s a mix that guarantees greater profitability and a homologation portfolio in high-end cars leader in the market.”
The wait is for a placement price at the top of the fork (from 6.3 to 8.3 euros per share, for a total of 6.3 and 8.3 billion euros) as already indicated by the board.
To facilitate a sprint debut will contribute to the careful financial maquillage that preceded the return. Shareholders have made several extraordinary transactions prior to Pirelli Ipo, which allowed them to obtain a good investment grade from rating agencies before listing. “We have reduced the debt,” Tronchetti said. “Thanks to 600 million from the separation of truck operations, another 1.2 billion comes from the share capital subscribed by the shareholders before Ipo. Another 500 million is the result of the last two-year cash flow. “All this – continued Tronchetti – has produced a fast reduction in the debt that allowed us to go on the stock market earlier than planned.”
All of this without ignoring the distribution of the dividend that, starting from 2019, will be equal to 40% of the net result.
The “new” Pirelli therefore appears on the stock exchange with a character and structure so predictable to the point that Tronchetti anticipates that no acquisitions or other extraordinary transactions are planned “outside the current perimeter”. A sort of “changing from the past” for a group that is always very dynamic on a financial level. This also sounds good in the short and medium term, favored by the trend in international demand: South America, after years of crisis (Pirelli costing two growth points less, 21 to 19%) is in full recovery, the Trump effect does not affect growth in Mexico; also the Russian market is growing.
Pirelli to decide on IPO terms based on prospectus, which brings ChemCina, on the other hand, agreed to drop its percentage of owned shares by bringing it under the barrier of 50% (between 45 and 49%); drops also for Camfin (between 10 and 12%) and Rosneft (5%).