Renault SA has selected investment banks to work on the planned initial public offering of its Ampere electric-vehicle business, according to people familiar with the matter.
(Bloomberg) — Renault SA has selected investment banks to work on the planned initial public offering of its Ampere electric-vehicle business, according to people familiar with the matter.
The French carmaker has picked BNP Paribas SA, Goldman Sachs Group Inc. and JPMorgan Chase & Co. to lead the deal as joint global coordinators, the people said, asking not to be identified discussing confidential information.
It has also chosen Citigroup Inc., HSBC Holdings Plc, Morgan Stanley, Natixis SA and Societe Generale SA to work as joint bookrunners, while Mediobanca SpA will serve as co-lead manager, the people said.
Renault, which makes Megane E-Tech hatchbacks and Alpine sports cars, has been aiming for a valuation of roughly €10 billion ($11 billion) for Ampere, with an IPO expected to launch in the fourth quarter, Bloomberg News has reported.
The listing would rank among Europe’s largest this year if it goes ahead. The region has been facing a drought of big listings amid volatile markets, with investors turning risk-averse due to heightened inflation and a hawkish interest rate environment.
Deliberations are ongoing and details of the potential offering, including the final bank lineup, could change. A spokesperson for Renault declined to comment, while representatives for the banks declined to comment or didn’t immediately respond to requests for comment.
The Ampere carveout is “on track” and should be completed in the second half of this year, Renault Chief Financial Officer Thierry Piéton said on a conference call Thursday. Renault is still planning to hold an initial public offering of the business “towards the end of this year” at the earliest, he said.
“Obviously we will look at market conditions,” he said. “We are not under pressure from a funding perspective. Our intent is still to float this company because we believe strongly that we have a set of assets that are very unique and a business proposition that’s going to be very interesting for investors.”
Ampere is initially focused on Megane. The model is among a range of six cars that will be launched between now and 2025, and the development of these vehicles is “perfectly on track,” Piéton said.
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