Vapiano IPO book covered, strong demand from UK, German investors

Germany-based Italian restaurant chain Vapiano’s IPO syndicate sent a message at 07:00 BST (08:00 CEST) that the book is covered on the full deal size including greenshoe, a source close to the deal said.

The book is oversubscribed and is expected to develop further, the source said.

There is strong demand from investors in Germany, the UK and other European countries, including some significant key investors, he said.

The book is due to close 26 June at 13:00 BST (14:00 CEST), later than previously reported.

Its price range was set on Wednesday morning (14 June) at EUR 21 to EUR 27 per share, implying a market capitalisation of EUR 512m to EUR 634m.

Freefloat following the IPO is expected to be above 30% of Vapiano’s outstanding share capital, assuming full placement of over-allotment shares. The first day of trading is planned for 27 June 2017.

This news service reported on Tuesday that Vapiano should look to US peers to guide its valuation ahead of its IPO. Vapiano’s closest fast-casual dining (FCD) peers are Panera Bread [NASDAQ:PNRA], Shake Shack [NYSE:SHAK] and Chipotle [NYSE:CMG], bankers said.

A source subtracted Panera and added Domino’s Pizza [OTCMKTS:DPUKY] to the list, including it among the leading FCD players. Chipotle and Domino’s may be seen as closer to quick-service restaurants than Vapiano, it was said.

The IPO was approved by the German Federal Financial Supervisory Authority (BaFin) yesterday morning (June 15).

Barclays, Berenberg and Jefferies are acting as Joint Global Coordinators, with UniCredit as Joint Bookrunners. Lazard & Co is acting as financial advisor to Vapiano.

Vapiano declined to comment.

by Emma-Victoria Farr in London