Banca Civica, a Madrid-based bank formed from the merger of four savings banks, announced the pricing of its initial public offering (IPO) at €2.70 a share, the bottom of its price range.
The IPO was priced at a 60 per cent discount to the bank’s stated book value, the same as its larger rival Bankia who also listed this week. Banca Civica, around a quarter of the size of Bankia, expects to place around €600m by floating 45 per cent of its capital. The bank said in a press release it had received bids of over €1.1bn with the institutional tranche 1.3 times subscribed, with more support from the retail tranche which was 2.3 times subscribed. Trading will start tomorrow.