Exor's Strategic Move: Accelerating Ferrari Share Offering
Exor Announces Major Offering of Ferrari Shares
Exor N.V. is embarking on an exciting new chapter as it reveals plans for an accelerated bookbuild offering involving approximately 4% of Ferrari N.V.'s outstanding shares. This strategic move not only underscores Exor's commitment to its long-term relationship with Ferrari but also signals an intention to diversify its investment portfolio.
Commitment to Ferrari's Future
Despite this sale, Exor remains steadfast in its support for Ferrari's strategic goals. The company has expressed a clear commitment to continue being Ferrari's largest shareholder, ensuring that its influence and supportive role within the organization remain intact.
Unchanged Governance Structure
Following this transaction, Ferrari's governance structure will remain unchanged. Exor will maintain a significant stake, holding approximately 20% of the economic rights and 30% of the voting rights in Ferrari's share capital. This decision speaks volumes about Exor's trust in Ferrari and its management.
Plans for Diversification and Growth
The expected sale of about 7 million common shares is projected to generate approximately €3 billion in proceeds. Exor plans to use a substantial portion of these funds to support its long-term goals, including a new share buyback program valued at €1 billion and continuing its pursuit of attractive acquisition opportunities.
Building Great Companies
Exor, known for its long-standing relationship with the Scuderia Ferrari team, has played a significant role in Ferrari's growth over the years. The planned transaction represents a critical step in sustaining growth and diversifying Exor’s investment portfolio, allowing the company to further its vision of building and nurturing great companies.
Trust in Management
John Elkann, Exor’s Chief Executive Officer, emphasized the importance of this relationship. He stated that Ferdinand’s remarkable journey has significantly contributed to Exor's growing net asset value (NAV). This commitment to Ferrari reflects Exor's strategic objective to ensure the stability and sustainability of its investment portfolio while supporting valuable companies.
Upcoming Bookbuilding Period
The bookbuilding period for this offering is set to commence immediately. Investors interested in participating should be prepared, as the process may conclude at short notice. Exor aims to complete this offering by March 3rd, 2025, and will communicate the results shortly thereafter.
About Exor N.V.
Exor N.V. (AEX: EXO) has established itself as a titan in investment management, exhibiting a strong commitment to various sectors. Since its inception, Exor has focused on acquiring and nurturing companies such as Ferrari, Stellantis, and Philips. The root of Exor's strategy lies in a fusion of entrepreneurial spirit and rigorous financial discipline, effectively fostering growth across its ventures.
Frequently Asked Questions
What is Exor planning with Ferrari shares?
Exor is launching an accelerated bookbuild offering to sell approximately 7 million shares of Ferrari, representing about 4% of its total outstanding shares.
How will this transaction affect Exor’s control over Ferrari?
Even after the sale, Exor will remain Ferrari's largest shareholder, owning about 20% of the economic rights and 30% of the voting rights.
What are the plans for the proceeds from the share sale?
Exor intends to utilize around €3 billion raised from the sale for diversifying its portfolio and implementing a new €1 billion share buyback program.
What does Exor aim to achieve with this strategic move?
The goal behind this offering is to reduce concentration within Exor’s portfolio while positioning itself for a potential new major acquisition.
Who are the coordinators for this offering?
Goldman Sachs Bank Europe and J.P. Morgan are serving as the joint global coordinators and bookrunners for this offering.
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