ISS says IPO demand strong, brings forward listing – Reuters

Reuters – Danish outsourcing company ISS will complete its initial public offering a day earlier than planned thanks to strong investor demand, and list its shares on Thursday this week rather than Friday, the company said.

The offering to retail investors will close on Tuesday at 12 p.m. (1100 GMT), while the sale of shares to institutional investors will close on Wednesday at 4 p.m.

The company said it had seen very strong demand from investors, and that information about the result of the offering, including the final offer price and the allocation of shares, was expected to be announced on Thursday.

The original deadline for closing the sale was March 14.

“It reflects a very good interest from investors, and that investors like these sorts of companies, which pay out solid dividends and have solid cash flows,” Sydbank analyst Soren Lontoft Hansen said.

ISS’s owners are seeking gross proceeds of up to 8.0 billion Danish crowns ($1.48 billion) in the sale, which will value the company at 27 billion to 31.7 billion crowns.

The IPO was fully subscribed within the price range of 140 to 175 crowns per share, two sources familiar with the matter told Reuters last week.

Funds managed by Swedish private equity firm EQT and by Goldman Sachs bought ISS for 22.1 billion crowns and delisted it from the Copenhagen bourse in 2005.

In 2012, Ontario Teachers’ Pension Plan (OTTP) and KIRKBI, which invests funds from the family behind Lego toys, injected 500 million euros ($685 million) for a combined 26 percent stake.

A previous plan to list ISS in 2011 was dropped because of shaky stock markets. ($1 = 5.3767 Danish Crowns) (Reporting by Teis Jensen and Shida Chayesteh; editing by Terje Solsvik and Tom Pfeiffer)