Ziggo increases size of IPO

19 Mar 2012

Dutch cableco Ziggo (Zesko Holding) is increasing the number of shares it plans to sell during its upcoming initial public offering (IPO). Telecompaper writes that the company now plans to sell 43.5 million shares, up from the original figure of 35 million, in the wake of high demand. As a result of the change the total stake in the firm on offer via the placement will be 21.7%, from 17.5% previously. Furthermore, Ziggo is still looking to use its so-called ‘greenshoe’ (over-allotment) option of a further 6.5 million shares which, if realised, will result in the sale of 25% of Ziggo’s total issued share capital.

As reported by CommsUpdate earlier this month, 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.