Ferretti: The Italian boating group does not attract investors

The Ferretti Group, owner of famous brands of luxury yachts such as Riva or Wally, is withdrawing its offer to open up its capital. A failure that he attributes to financial market conditions, while promising the rapid arrival of new investors.

The Ferretti group suspends its capital opening

The Ferretti group, a heavyweight in the Italian nautical industry, famous through the brands Ferretti, Pershing, Itama, Riva, Mochi Craft or its latest Wally acquisition, had launched a 30% capital increase at the beginning of October 2019. The operation was finally abandoned by management, dissatisfied with the conditions and the final valuation of the company. A note from the Ferretti group states that" the deterioration of financial market conditions does not allow the company to be properly valued. "

An unfavourable market and a share price that is too low

At the beginning of the procedure, on 1 October 2019, the target price of the shares was proposed between ?2.50 and ?3.70. This tariff corresponded to a valuation of the company between ?727 million and ?1.08 billion. Faced with the limited interest of investors, the Ferretti group's management initially announced the extension of the process, by reducing the target price of the shares between ?2.00 and ?2.50, reducing the boat builder's valuation to ?580 million. At the closing time, despite the announcement of an increasing order book, the price accepted by investors was around ?2.00, unsatisfactory for the current main shareholder, the Chinese Weichai. According to the newspaper Il Sole 24 Ore, the offers reached 200 Meuros.

Ferretti management expects a new opening in 2020

Despite the failure of its operation, the Ferretti group's management is optimistic. " Our priority for the moment is to close the budget and show the markets what we are worth, perhaps with a new partner as early as 2020. "

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