Carnegie and DnB NOR Markets closed the bookbuild early on the IPO of Norwegian plastics company Polimoon in light of high demand. The offer comprised a sell-down by CVC Capital Partners and a significant capital increase. Pricing at the top of the NKr19.00–NKr21.50 price range gave a post-issue market capitalisation of NKr830m.
The IPO included the issue of 18.6m primary shares to raise NKr400m and a secondary placement of approximately 14m shares, raising a further NKr300m for the sellers. The total deal of NKr700m (US$121.4m) accounted for 84.3% of the company post-money.
CVC bought into Polimoon in 1999 during a management buyout and the IPO takes its shareholding down to approximately 10%. CVC invested NKr315m in the company at that time. It will use the proceeds from the flotation to repay preference shareholders and to reduce bank debt to NKr600m.
The book was believed to have been more than six times covered. Approximately 40% of the offer went to international investors and with retail participation the total number of shareholders was boosted to more than 1,000. But those high subscription levels did not help the aftermarket, which was poor after the placing, with the stock falling to NKr20 in late trading on April 29.
Polimoon produces plastic containers for chemical and medical products. In March, it bought Italian company Ciplast, which also serves the consumer sector.