Polish Amazon competitor: Allegro shares with a fireworks display: Allegro celebrates brilliant market debut | message
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The stock rose on Monday on the Warsaw Stock Exchange by 51.2 percent. The share opened at 65 zlotys (the equivalent of 14.53 euros) after an issue price of 43 zlotys per share. Allegro was valued at 14.9 billion euros and rose in one fell swoop to become the most valuable listed company in Poland. The largest IPO in Poland in years could mark a turning point for the Warsaw Stock Exchange. Until now, it has been difficult for the exchange operator to attract attractive candidates.
Worldwide, the positive mood on the stock markets, high trading volumes and the tight time window in autumn are currently leading to a concentration of stock market debuts. In September, the British online retailer The Hut Group shone in its first IPO in London since the beginning of the Corona crisis and carried out the largest share issue since Royal Mail seven years ago.
Allegro, which was founded 20 years ago as an eBay competitor, is one of the best-known online retailers in Poland. The owners Cinven, Permira and Mid Europa acquired Allegro and the online portal Ceneo four years ago for 3.25 billion dollars from the South African investor Naspers. In total, Allegro, together with shareholders, sold shares worth the equivalent of around two billion euros in the IPO. The newcomer to the stock market wants to use the proceeds from the share issue to reduce debt. There are no plans to pay a dividend. The platform now attracts 20 million visitors a month and has also benefited from the changed shopping behavior since the outbreak of the Corona crisis. Around the globe, more and more people are buying their goods online because they shy away from going into stores in view of hygiene and distance rules. In the first six months, Allgro’s profit climbed 48 percent to just under 65 million euros.
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