Rocket Internet is Offering Its IPO Later This Year, Ending Speculations
All along stakeholders have been running speculations and rumors about the intentions of Rocket Internet raising so much capital in order to boost its valuation and increase investors’ confidence in the event of its Initial Public Offering (IPO). The IPO as speculated will help finance its growth as the company launches more new businesses and expands its global market.
Well, all the speculations and rumors were far from wrong. On Wednesday this week, Investment AB Kinnevik confirmed these rumors that Rocket Internet is indeed planning to have its IPO on the Frankfurt Stock Exchange before the end of this year.
“Kinnevik is very supportive of Rocket Internet’s intention to list. Our partnership with Rocket, which goes back to 2009, has created substantial value for our shareholders and has contributed to the transformation of our portfolio,” said, Lorenzo Grabau, CEO of Kinnevik. “We look forward to continuing to work with the Rocket team as the company pursues its exciting growth strategy to build the world’s leading internet platform outside of China and the United States.”
On its part, Investment AB Kinnevik, is a major investor when it comes to the communications, entertainment, finance and e-commerce industries. It owns more than 50 companies in over 80 countries across the world.
AB Kinnevik and others shareholders in Rocket Internet such as HV Holtzbrinck Ventures, Access Industries, Global Founders, United Internet and Philippine Long Distance Telephone Company; they will not lose shares they already hold. The IPO shares will only consist of new shares gained from the increase in capital.
The new shares to be offered will still be of the same class and have the same rights as the shares held by current shareholders at Rocket Internet. Also, the current shareholders cannot sellout their shares for at least after a twelve months period.