Hapag-Lloyd’s IPO prices shares at just €20

Container shipping line Hapag-Lloyd has set the final offer price for its shares at just €20 (US$21.91) in its initial public offering on November 3 (IPO).

This will give the company a market capitalisation of about €2.4bn (US$2.6bn), far less than the €5bn (US$5.4bn) which the company had originally targeted.

Weak demand and a profit warning by competitor Maersk Line had previously caused Hapag-Lloyd to delay the IPO and to lower the valuation and number of shares sold.