Sonae SGPS to List Food-Retail Business on Lisbon Euronext

   By Nathan Allen 
 

Sonae SGPS S/A (SON.LB) said Wednesday that it plans to list its food-retail business, Sonae MC, on the Portuguese stock exchange during the fourth quarter.

The aim of the initial public offering is to provide greater visibility of the food unit's standalone valuation and to reduce the group's conglomerate discount, Sonae said.

Sonae SGPS will remain the majority shareholder and is planning to list at least 25% of the company's shares, it said.

The offer will take the form of a secondary sale of existing shares in Sonae MC and will comprise a public offering to Portuguese institutional and retail investors, and a private placement to international institutional investors.

Barclays PLC (BARC.LN), BNP Paribas SA (BNP.FR) and Deutsche Bank AG (DBK.XE) are coordinating the IPO and will act as joint bookrunners for the institutional placement.

Sonae MC is Portugal's biggest food retailer with a market share of 21.9%, according to its parent. It posted net profit of 115 million euros ($134.3 million) on sales of EUR3.94 billion in 2017.

Write to Nathan Allen at [e-mail]

(END) Dow Jones Newswires

September 19, 2018 03:40 ET (07:40 GMT)

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