DSV Capital Raise Attracts $30 Billion in Investor Interest
A recent share sale by DSV A/S garnered significant attention from investors, with orders exceeding $30 billion. The demand for the deal far surpassed the number of shares available, indicating strong interest in the offering. The Danish freight-forwarding company sold 37.3 billion Danish kroner ($5.5 billion) in shares to aid in financing its acquisition of DB Schenker.
The share sale attracted more than 250 orders at the top end of the marketed range, with long-only investors taking up over 90% of the shares offered. The remaining shares were allocated to hedge funds. The shares were priced at 1,410.50 kroner apiece, the same as Thursday’s closing price. This deal marked Europe’s second-largest equity capital markets transaction of the year, following National Grid Plc’s $8.9 billion rights issue.
DSV Chief Financial Officer Michael Ebbe expressed satisfaction with the overwhelming interest in the transaction. The accelerated bookbuilding process quickly garnered enough orders to cover the available shares, with support from anchor orders from long-only funds and commitments from cornerstone investors like BlackRock Inc. and Canada Pension Plan Investment Board.
The success of the share sale was facilitated by a group of banks, including BNP Paribas SA, Danske Bank A/S, HSBC Holdings Plc, JPMorgan Chase & Co, and Nordea Bank Abp, who helped DSV arrange the stock sale.
Overall, the strong demand for DSV’s shares underscores investor confidence in the company’s growth prospects and strategic initiatives. The successful capital raise will provide DSV with the necessary funds to pursue its expansion plans and strengthen its position in the market.
In conclusion, the overwhelming response to DSV’s share sale highlights the company’s strong market presence and investor appeal. With the support of long-only investors and strategic partners, DSV is well-positioned to capitalize on future growth opportunities and deliver value to its shareholders.
