Demag Cranes AG announces details related to its IPO: Shares are offered in a bookbuilding range from € 26 to € 31
Düsseldorf, 07. June 2006
- Bookbuilding period will commence on 7 June and is expected to end on 19 June 2006.
- Trading is expected to commence on 20 June.
- Management will not sell shares in the IPO.
- Offer size of approximately € 426 million, based on mid-point of the price range (incl. greenshoe).
- Free float expected to be around 71% after placement of all shares (incl. greenshoe).
The IPO of Demag Cranes AG enters its final phase as the Company's owners and the syndicate banks have determined the key terms for the share offering. The bookbuilding price range is € 26 to € 31 per share. Interested investors may submit offers to purchase shares within this bookbuilding price range during the period that commences 7 June and is expected to end on 19 June 2006. Trading is expected to commence on the Frankfurt Stock Exchange's official market segment (Prime Standard) on 20. June. Including the greenshoe, a total of up to 14.95 million bearer shares will be offered by the selling shareholders. The shares bear full dividend rights for the fiscal year 2005/2006. Assuming all of the shares (including the greenshoe) are sold at the mid-point of the bookbuilding price range, the total placement volume would amount to around € 426 million.
Demag Holding S.à r.l., Luxembourg, in which private equity investment funds advised by Kohlberg Kravis Roberts & Co. LP (KKR) indirectly hold 81% and Siemens AG holds 19%, will significantly reduce its indirect stake in the Company, and is expected to indirectly hold an 18.3% stake in the Company after the IPO (assuming the greenshoe option is exercised in full). After placement of all of the shares, including the greenshoe, the free float is expected to be around 70.6%.
The CEO of Demag Cranes AG, Harald J. Joos, is confident. "Demag Cranes is well-prepared for the stock market. I expect that our clear focus on sustained profitable growth will convince investors. Good general economic conditions in our markets generally support our growth. We look forward to going public", said Joos.
Prior to the IPO, the management of the Demag Cranes Group (Management Board and executives) have been shareholders in companies which own approximately 11.1% of the shares in Demag Cranes AG. Management will not sell any of their shares in the Company as part of the IPO.
The IPO comprises a public offering to retail and institutional investors in Germany and private placements outside of Germany.
Trading in the shares of Demag Cranes AG is expected to commence on 20 June 2006 under the ticker symbol 'D9C' on the official market segment of the Frankfurt Stock Exchange (Prime Standard). The International Securities Identification Number (ISIN) for Demag Cranes is DE 000 DCAG01 0, and the German Securities Identification Number (WKN) is DCAG01.
About Demag Cranes AG
The Demag Cranes Group is one of the world's leading providers of industrial cranes and crane components, harbor cranes and port automation technology. Services, in particular maintenance and refurbishment services, are another core element of its business activities. The Group, which is divided into the Industrial Cranes, Port Technology and Services segments, has strong brands - 'Demag' and 'Gottwald'. Demag Cranes believes that it is a global market leader, by virtue of its innovation and technology leadership, its excellent product and service quality and its close and long-term customer relationships. Demag Cranes manufactures in 16 countries on five continents and operates a worldwide sales and service network that is present in over 60 countries through its subsidiaries, representative offices and a joint venture.
For the fiscal year 2004/2005, the Group reported total sales of € 881.6 million and an adjusted EBIT of € 64.0 million (Combined Financial Statements prepared in accordance with IFRS).