Ziggo sets out its stall for IPO; aims to raise up to EUR745m

9 Mar 2012

Dutch cable TV and broadband internet provider Ziggo (Zesko Holding) is launching an initial public offering (IPO) on the Amsterdam bourse, setting an indicative price range of EUR16.50-EUR18.50 per share, valuing the company at between EUR644.12 million and EUR744.62 million (USD865.54 million and USD1 billion) – assuming an over-allotment (or ‘greenshoe’). Telecompaper writes that the IPO will also result in the sale of a second tranche of 35 million shares held by Ziggo’s owners – Cinven and Warburg Pincus – along with the greenshoe (of up to a further 15%), together making a total of 20.125% of the cableco’s issued share capital. Further, it is understood that the IPO will include a public offering to Dutch institutional and retail investors, and a private placement to institutional investors on the international markets. The over-allotment sale portion is however, limited to investment groups in the Netherlands.

Ziggo is launching the offer subscription phase on 9 March, which will run until 20 March; shares will start trading on 21 March, it said. The joint global coordinators of the IPO are JP Morgan and Morgan Stanley. Deutsche Bank, JP Morgan, Morgan Stanley and UBS will act as joint book-runners; ABN AMRO, HSBC, Nomura and Rabobank will be the joint lead managers; ABN Amro and Rabobank will act as joint retail book-runners; and Societe Generale will be co-lead manager, the paper said. TeleGeography’s Globalcomms Database writes that Ziggo is the Netherlands’ biggest cableco by subscribers. Formed through the merger of Casema, Multikabel and Essent Kabelcom, it has an estimated valuation of between EUR7 billion and EUR8 billion, including EUR3.2 billion of debt. It reported revenues of EUR1.48 billion and EBITDA of EUR835 million in 2011.