FRANKFURT (Reuters) - German tech investor Primepulse, which has interests in cloud services, vision technology, electronics and automotive markets, is planning to float on the Frankfurt stock exchange in the fourth quarter of this year, the company said on Tuesday.
Newly-issued shares worth 250 million euros ($294 million) will be offered, and the proceeds will be used to buy controlling stakes in technology groups as well as to strengthen existing investments, it said in a statement.
While the company declined to comment on its potential valuation, a person close to the matter said the free float - or proportion of equity readily available for trading on the exchange - was expected to be 25-35 percent after the initial public offering (IPO).
The IPO also includes an over-allotment option to sell more shares equivalent to 15 percent of the offering’s size, which could be exercised if demand is strong enough.
Those shares would be provided by shareholders Stefan Kober, Raymond Kober and Klaus Weinmann, who will remain majority shareholders after the IPO.
In the first half of 2018, Primepulse group posted earnings before interest, tax, depreciation and amortization of 39.9 million euros on sales of 394 million euros.
The company’s investments include image processing group Stemmer Imaging (S9I.DE), electronics supplier Katek, metals engineering firm Mettec and robot lawnmower maker AL-KO.
It also has an 11 percent stake in IT firm Cancom (COKG.DE), also co-founded by Weinmann, who will retire as chief executive this month to focus on heading Primepulse.
Deutsche Bank and Hauck & Aufhaeuser are coordinating the IPO with the help of bookrunner Mainfirst.
($1 = 0.8516 euros)
Reporting by Arno Schuetze; Editing by Mark Potter