Bids for the CAPITAL MARITIME FINANCE (CMF) public offering totalled around €1bn when it closed at 4pm today.
The offering was already twice covered yesterday, with strong interest from both retail investors and overseas investors.
The shares are scheduled to begin trading on Tuesday 20 October.
The company, whose interests are associated with Evangelos Marinakis, carried out the first shipping IPO to have its sole primary listing on Euronext Athens. It aims to raise €250m, an amount that could increase to €300m through an enlargement of the offering. According to reports, the shipping company intends to raise €300m.
The offer price range is €7.00 to €7.68 per share.
Analysts say a key feature of the investment proposition is the company’s fleet, which is expected to reach 36 containerships. Of these, 13 are already in operation, 19 are under construction and four more are due to be acquired on delivery.
The fleet’s young age is also a competitive advantage. The vessels currently in operation have an average age of 2.8 years. If all the newbuildings are delivered, the average age of the fleet as a whole will fall to just 0.5 years.
CMF also has high revenue visibility. Contracted revenues total $3.9bn, with the potential to rise to $4.9bn, while the average remaining charter term is 9.4 years. According to company data, the entire fleet has employment secured through 2034, with leading charterers such as CMA CGM and Unifeeder.
These factors set CMF apart from the traditional shipping company model, in which profitability and cash flows depend heavily on fluctuations in the freight market. CMF’s long-term contracts limit its exposure to short-term market changes and make future revenues more predictable.
Cornerstone investors play an important role in the offering, having committed a total of €70m. They include companies linked to Giannis Vardinogiannis, Socrates Kokkalis, Evangelos Mytilineos and George Peristeris.