Primafrio, the Murcian company dedicated to the road transport of horticultural products at controlled temperatures, will go public through a Public Offer of Sale (IPO) of 35 million ordinary shares, equivalent to 25% of the capital, with the intention of reaching a capitalization stock market of between 1,300 and 1,700 million euros. The National Securities Market Commission (CNMV) has published the company’s IPO brochure, in which it establishes a price of between 9.30 and 12.10 euros for each Primafrio share. In this way, the planned collection for its IPO could be between 325.5 and 423.5 million euros.
The offer is aimed exclusively at qualified investors and the Primafrio securities are expected to begin trading on June 24, under the ticker PRF on the Madrid, Barcelona, Valencia and Bilbao stock exchanges. Regarding the dividend policy, the company intends to maintain a distribution ratio of 60%, calculated as dividends or net income. The new Board of Directors of Primafrio will be made up of new members.
The president and CEO of the company will be the brothers Juan Ignacio and Esteban Conesa Alcaraz, respectively. It will also have two proprietary directors, who will be Carmen Panadero Reyes and Gerard van Kesteren; and five independent directors, who are Enrique Pérez-Hernández and Ruiz-Falcó, Carmen Fernández Rozado, Isabel García Tejerina, Dirk Reich and Carmen del Río Novo.
10% additional shares for over-allotment in the IPO
The operation includes an over-allotment option that can reach an additional 10% on the number of shares offered, with which a free float (free float) of between 25% and 27.5%. Thus, the founders of Primafrio, Juan Conesa and José Esteban Conesa, will maintain a majority stake in the company of approximately 75%.
JP Morgan and Morgan Stanley act as global coordinating entities of the offer and together with Banco Santander, Berenberg, Société Générale and CaixaBank as joint bookrunners, and Alantra, Commerzbank, Kempen & Co and JB Capital Markets as co-lead managers (jointly the insurance entities). CaixaBank acts as agent bank, while Global Finanzas Investment Group acts as financial advisor to the company. Ernst & Young Abogados and Mayer Brown International LLP act as national and international legal advisers to Primafrio, respectively. Linklaters, for its part, acts as national and international legal advisor to the syndicate of underwriter banks and Morgan Stanley will also act as stabilization manager.
Primafrio recorded revenues of 458 million euros in 2020, with a compound annual growth rate of 10.8% since 2018, a net operating profit margin (EBIT) of 17.8%. The consolidated net profit stood at 63.5 million last year. Primafrio’s headquarters are located in Alhama de Murcia and it also has five other logistics centers in Spain and Portugal. In addition, thanks to various strategic partnerships with other logistics providers, Primafrio has increased its presence in strategically relevant locations and diversified its business activities, accessing 36 platforms of cross docking (distribution without prior storage on site) and 16 logistics centers in France and five logistics platforms in Germany.