Hoppecke, a German manufacturer of energy storage units and power supplies, is weighing an initial public offering of its specialist lithium-ion unit, people with knowledge of the matter.
(Bloomberg) — Hoppecke, a German manufacturer of energy storage units and power supplies, is weighing an initial public offering of its specialist lithium-ion unit, people with knowledge of the matter.
The family-owned company is considering listing a 30% stake in the business called Intilion to help fund its growth, according to the people. An IPO could value Intilion at about €350 million ($382 million) and take place in the second half or the year, they said.
Hoppecke has started talks with potential investors about a possible listing of Intilion, as well as alternative funding options, as it looks to break through a difficult IPO environment by tapping demand for renewable energy companies, the people said. It’s working with Bankhaus Metzler, a private banking company in Europe better known for its relationships with wealthy German families than managing IPOs.
Deliberations are in the the early stages and no final decisions on the size or timing of any IPO have been taken, the people said, asking not to be identified discussing confidential information. Representatives for Intilion and Bankhaus Metzler declined to comment while Hoppecke didn’t immediately respond to request for comment.
Any listing would likely be dependent on conditions in the equity capital markets, which have since last year been unfavorable for companies looking at IPOs. Hopes of a revival in early 2023 were dampened by a mini-banking crisis that spread from the US to Europe.
Still, booming demand for lithium among electric vehicle makers means offerings from the sector could potentially be attractive to IPO investors. Intilion’s products are used, among other things, to provide storage for power from clean and renewable energy sources on things like electricity and e-mobility charging infrastructure.
(Updates with other applications of Intilion products.)
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