Spanish clean energy and water utility company Cox has set the final price for its initial public offering (IPO) at €10.23 per share, leading to a market capitalization of €805 million ($849.4 million), the company announced late on Wednesday. This price is at the lower end of the previously announced range of €10.23 to €11.38 per share.
The company also reduced the size of the IPO, cutting the offering to €175 million from an initial target of €200 million, according to filings submitted to the Spanish stock market regulator.
Cox expects to raise a total of €185 million, factoring in €10 million worth of shares granted to Santander, which acted as the “stabilising manager” for the offering.
In a statement, Enrique Riquelme, Cox's executive chairman, emphasized the strength of investor demand despite a challenging market environment. “Despite a tough IPO market, the investor demand reflected in our pricing is testament to the value that investors see in our strategy and track-record, as well as the growth prospects ahead of us in water and energy,” Riquelme said.
Cox initially announced its IPO plans on November 5, but the broader market's volatility, exacerbated by uncertainties following Donald Trump's election, prompted a reevaluation of its pricing and size. The company intends to use the funds raised to finance energy projects and invest in water concessions.
Before the IPO, Riquelme controlled 77.85% of Cox and plans to retain more than 60% of the company post-offering.
