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  • Aug 3rd, 2015
  • Comments Off on German solar, wind park operator CHORUS plans listing in third quarter
German solar and wind park operator CHORUS Clean Energy plans to list its shares on the Frankfurt stock exchange at the beginning of the third quarter, it said on Monday, hoping to fetch 100 million euros ($111.60 million) via the sale of new shares.

Wind park operators, such as CHORUS and larger peer Capital Stage, have seen their profits surge due to rising demand for energy assets, most of which offer stable returns in times of record-low interest rates.

CHORUS, founded in 1998, said it would use the proceeds to expand its current portfolio - more than 250 megawatt (MW) of capacity in five European countries including Germany and Italy.

"We can draw on a project pipeline in several European core countries with a nominal capacity of more than 600 megawatts," Chief Executive Holger Goetze said in a statement.

As a general rule, shares usually start trading about four weeks after the intention to float has been announced.

CHORUS, which is eyeing a listing in Frankfurt's Prime Standard segment, had sales of 55 million euros in 2014, up 10.7 percent year-on-year, while earnings before interest, tax, depreciation and amortisation (EBITDA) was 43.4 million.

In the first three months of 2015, EBITDA reached 7.8 million euros on 12.4 million euros in sales.

Besides issuing new shares via a capital increase, CHORUS also plans to sell several stakes held by current owners amounting to 4.2 percent of share capital. An over-allotment of up to 15 percent is planned, covered by a greenshoe option.

Currently, about 23 percent of CHORUS is held by the founders and management of the group, while the rest is free float.

Founders and management intend to agree to an 18-month lock-up period for their stakes following the offering, CHORUS said, adding that the company itself would neither issue nor sell shares for six months after the IPO.

Copyright Reuters, 2015


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