China's Silk Road Fund selling 9% stake in Italy's Pirelli through ABB
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 29 2024
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Source: Yahoo Finance
- Silk Road Fund Stake Sale: China's Silk Road Fund is selling its 9% stake in Italian premium tire maker Pirelli through an accelerated book building procedure.
- Italian Government Intervention: The Italian government intervened last year to limit the influence of Pirelli's largest shareholder, Sinochem Group, to protect national interests.
- Sale Details: The price guidance for the sale was set at 5.69 euros per share, with an 8.1% discount compared to market price, valuing the stake at around 513 million euros.
- Current Market Status: Milan-listed Pirelli shares closed up 0.3% at 6.19 euros, giving the company a market capitalization of about 6.2 billion euros.
- Ownership Structure: Sinochem remains the largest investor in Pirelli with a 37% stake, while Camfin, led by Marco Tronchetti Provera, holds a 20.6% stake as the second-largest shareholder.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
