Mubadala unit Cepsa valued up to €8.08b

Spanish energy company Cepsa is expected to have a market capitalisation of between €7.01 billion and €8.08 billion (Dh29.83 billion and Dh34.39 billion) when it publicly lists later this month, according to prospectus issued yesterday.

The market capitalisation of the Mubadala Investment-owned company is based on a share price offering between €13.1 and €15.1.

The final Cepsa share price will be determined on October 16, Cepsa said, with the listing of the company set to take place two days later.

Cepsa will list 25 per cent of its total share ownership, offering around 133.8 million shares on the Spanish stock exchanges. For owner Mubadala, this would mean it would initially raise €1.75 billion to €2.02 billion from the initial public offering (IPO), according to Gulf News’ calculations.

Shares to be floated

The prospectus, with details on a share price range and the number of shares that will be floated, was approved yesterday by the Spanish National Securities Market Commission.

It comes after Cepsa in mid-September confirmed it plans to float its shares on Spanish bourses, in what is expected to be one of the largest listings in Spain in over a decade.

Mubadala at the time did not disclose the valuation of the company, but banking sources familiar with the matter told Reuters anonymously that the business would be valued at around €10 billion, well above the €7 billion to €8.08 billion figure announced yesterday.