Spain’s Bankia puts back publication of prospectus
SPAIN’S Bankia has put back the publication of the prospectus for its up to €4bn (£3.6bn) initial public offering (IPO).
The bank was forced to put back the release after the Spanish stock market regulator, the Comision Nacional del Mercado de Valores (CNMV), demanded changes to the draft version of the document.
Bankia, which is valued at about €13.2bn, will put back the release by a week. It is hoped that the float will get away by mid July.
However, concerns over a possible Greek debt default and the distressed Eurozone economy have meant investors are looking for a deep discount from the offering.
The success of its IPO could be crucial to the recovery of the Eurozone’s embattled financial institutions, particularly Spain’s troubled banking sector.
“The willingness of private investors to put capital into euro periphery banks is going to be absolutely critical in judging where this market is going to go,” said one senior equity capital markets banker.
“Bankia is a massive franchise, its going to be a massive IPO, we’re very confident about it,” they added.