Ferrari's U.S. IPO to Raise as Much as $900 Million
Italian sports car maker Ferrari's U.S. IPO is expected to raise as much as $900 million at the planned price range of $48-$52 per share.
The U.S. IPO of 17.2 million shares is roughly 9 percent of parent company Fiat Chrysler Automobiles' <FCHA.MI> stake.
FCA, which owns around 90 percent of Ferrari, is planning to distribute the rest of its stake to its shareholders.
Ferrari, the marque famous for its "prancing horse" logo and its Formula One racing team, expects to list on the New York Stock Exchange under the symbol "RACE."
FCA said that it expects Ferrari to go public by mid-October.
Even after the spinoff, Piero Ferrari, vice chairman and son of founder Enzo, will continue to hold a 10 percent stake in the company.
Piero Ferrari and Fiat's founding Agnelli family, through their holding company Exor S.P.A. <EXOR.MI>, could end up with a voting power of around 50 percent, enabling them to thwart any unwanted takeover bid. Exor will hold about 23.6 percent of Ferrari's shares on completion of the separation, expected to occur by early 2016.
Ferrari expects to report revenue of about 720-730 million euros for the three months ended Sept. 30, an increase of 9-10 percent from a year earlier.
The company expects adjusted EBITDA to go up 19-22 percent to 210-215 million euros.
Ferrari added Allen & Co LLC, BNP Paribas, J.P. Morgan and Mediobanca to its list of underwriters that include Banco Santander, BofA Merrill Lynch and UBS Investment Bank.
(Reporting by Rachel Chitra in Bengaluru; Editing by Don Sebastian)