Ziggo IPO set to be biggest of year so far

CABLE company Ziggo provided another boost to the slow recovery in Europe’s equity markets yesterday when it increased the value of its listing to as much as €925m (£768.6m).

Holland’s largest cable firm said strong demand had prompted it to increase the number of shares available in its initial public offering in Amsterdam, which had originally been estimated at up to €800m.

If it reaches €925m it would be the largest IPO in Europe since the middle of last year, when a series of firms put their listing plans on hold as the sovereign debt crisis created turmoil in the markets.

DKSH, a Swiss firm which helps companies market and distribute goods in Asia, is due to make its market debut today and to raise up to SFr900m (£620m) for its majority owner.

Ziggo said its selling shareholders, which include private equity firms Cinven and Warburg Pincus, would now sell as much as 50m shares, or a 25 per cent stake in the company, if a 15 per cent over-allotment option was exercised.

The company is set to price the sale at the top end of its original €16.50 to €18.50 per share range, a source close to the deal said last week, after investors were told those who put in orders below €18.50 risked missing out.

Order books were due to close yesterday, a day earlier than originally planned, and Ziggo will make its market debut on the NYSE Euronext Amsterdam stock exchange tomorrow.

JP Morgan and Morgan Stanley are the joint global coordinators for the offering, and joint bookrunners along with Deutsche Bank and UBS.

ABN Amro, HSBC, Nomura and Rabobank are acting as joint lead managers and ABN Amro and Rabobank are the joint retail bookrunners. Société Générale is co-lead manager, Ziggo said.