While the shares were initially priced at €82.5 (~$79.87), the quick rise in shares of 1.8% possibly indicated the public’s interest. Porsche’s parent company Volkswagen offered 911 million shares as a reference to the famous 911 Porsche model. Arno Antlitz, Volkswagen’s chief financial officer, spoke to CNBC’s Squawk Box Europe about the success of the IPO and the Porsche brand.
Positive reactions
This new listing should offer Porsche a treasure chest of roughly €19.5 billion (~$18.93), which should give them the flexibility needed to transition to electric vehicles (EVs). The IPO seemed to have a positive impact among market participants despite auto manufacturers across the globe feeling the heat from flaky supply chains and issues produced by the war in Ukraine. Antlitz also believes that the semiconductor shortage caused by supply chain issues should be ameliorated in the following year.
Mature brand
Placing this IPO in a tough market that 2022 has proven to offer speaks to the strength of the Porsche brand. Perhaps such a large IPO could be an overture to more IPOs coming to the market, possibly reviving the struggling IPO market of 2022. Furthermore, Porsche intends to offer a battery-electric version of the Macan in 2024, with the goal of electrifying 50% of new vehicle deliveries by 2025 and 80% by 2030. A successful IPO will go a long way in providing this opportunity for the world’s foremost sports car brand. Buy stocks now with Interactive Brokers – the most advanced investment platform Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
