Vodafone to Generate €2.3 Billion as Tower Unit Trading Begins
Vodafone’s Vantage Towers began trading on the Frankfurt Stock Exchange, with the listing valuing the infrastructure unit at more than €12.1 billion after shares were priced at €24 each. Vodafone Group will generate €2.3 billion from the deal, as long as an over-allotment option is fully exercised.
The operator had set an IPO price range at between €22.50 and €29 per share, before narrowing it to between €24 and €25 prior to the start of trading on March 18. Vodafone will continue to hold just over 81 percent of the unit, if all goes to plan, with the proceeds used to reduce debt.
Ahead of the listing, Vodafone CEO Nick Reid said the IPO unlocks value for shareholders and demonstrates the value of their tower assets in a 5G world. He added it set up Vantage Towers to unlock its full potential as a focused independent tower operator. Vodafone announced its plans for the IPO at the start of March, and Vantage Towers’ offer to prospective investors ended on March 17, before free trading began.