Vantage Towers, the mobile phone mast business owned by Vodafone PLC (LON:VOD), has priced its IPO well below the halfway mark of the expected range, valuing the business at €12.1bn (£10.3bn).
Shares were sold at €24 each ahead of the start of trading in Frankfurt today, compared to a range beforehand of between €22.50 - €29, which will generate proceeds of €2.3bn all of which are going to Vodafone.
Some 18.9% of the business was sold in the float, with FTSE 100 group to use the proceeds to reduce its debts.
Nick Read, Vodafone’s chief executive, said: "This IPO unlocks value for our shareholders: it demonstrates the value of our towers assets in a 5G world, sets up Vantage Towers to unlock its full potential as a focused independent tower operator, with the proceeds reducing group debt.“
Vivek Badrinath, Vantage Towers CEO, added: "We have had great engagement with investors and we are pleased with the successful completion of the offering. The IPO is an important milestone and sets the foundations for the next stage of Vantage Towers' growth within the dynamic towers sector.”
Vantage Towers has approximately 82,000 macro sites in 10 countries,