FSN’s Instalco floats at top of price range

Instalco IPO
Instalco chief executive Per Sjöstrand

Instalco, a heating and plumbing installation business held by FSN Capital, has listed on the Nasdaq Stockholm with a market cap of SEK2.5bn (€258.62m).

The business floated at a price of SEK55 per share, at the top of the SEK50 to SEK55 price range, and its share price increased by 18.2 per cent in the first day of trading.

A total of 43.7 per cent of the shares were sold, generating SEK1.1bn and giving Instalco an overall market cap of SEK2.5bn. FSN will retain a 19.6 per cent stake, assuming the over-allotment option is exercised.

“During the last three years, we have together built Instalco from a regional player in Sweden, with revenues of SEK557m, to a pan-Nordic multidisciplinary company with 2016 pro forma revenues of SEK2.85bn,” said FSN partner Peter Möller.

Cornerstone investors in the IPO included Swedbank Robur Fonder, Handelsbanken Fonder, RAM ONE, Carnegie Fonder, Pareto Asset Management and Färna Invest, who together subscribed for shares corresponding to 49.4 per cent of the total offering.

More than 2,000 investors were allotted shares in the business in the IPO.

Instalco was formed by FSN in 2014, on the initiative of the business’s chief executive Per Sjöstrand, through the merger of five technical installation companies. The owners of each company became shareholders in the new entity.

Since then, Instalco has made a number of bolt-ons including three announced in 2015, eight in March 2016 and four in September 2016.