The Europe’s biggest IPO since 2018

29 / 05 / 2020
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JDE Peet’s raises €2.25bn in Europe. Shares jump 12% in early trading to give in JAB-backed coffee group a market value of €16.8bn. The listing was a big test for JAB Holdings, the private investment group that manages the wealth of Germany’s billionaire Reimann family and controls JDE Peet’s.

To boost the IPO, JDE Peet’s secured cornerstone investment worth €100m from Quantum Partners and Palindrome Master Fund, both managed by Soros Fund Management, and €361m from Fidelity. In addition, JAB increased its ownership by purchasing €300m worth of new shares.

JAB’s direct interest will give it a 38 per cent stake. Mondelez will be its second-largest shareholder with 23.4 per cent. JAB managing partner Olivier Goudet spent most of the past decade striking a series of leverage-backed deals to create what is now JDE Peet’s, preparing the company to take on rivals such as Nestlé.

The European IPO market has been lacklustre in recent months, as lockdowns and turbulent market conditions have deterred companies from floating shares. JDE Peet’s roadshow was conducted virtually, over three days, rather than the traditional 14.

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