MADRID: Spanish online travel group eDreams Odigeo’s share price tumbled as it listed on the Madrid stock exchange yesterday, a worrying sign for the richest new entry to the market in nearly three years.
Javier Perez-Tenessa, founder of the group which includes Go Voyages, Opodo and eDreams, rang the bell in the Madrid stock exchange’s main hall to mark the start of trade in its stock. But within the first half hour of trade, the stock had skidded 5.89 percent to 9.599 euros.
The sound of the bell announcing a new listing has barely been heard since summer 2011 when banking group Bankia arrived on the market, one year before it required a €20bn state rescue to avoid financial collapse.
During two years of recession, from which Spain emerged
gingerly in mid-2013, the
stock market lured hardly any new players.
That changed only in the past few weeks, with two more modest listings of real estate firms Hispania and Lar Espana Real.
Meanwhile, the Madrid stock market has gained some strength: on Friday it hit the highest level since May 2011. On listing, eDreams Odigeo becomes the largest listed e-business in Europe in terms of profits.
In its float, shares were priced at €10.25 each, valuing the company at €1.1bn.AFP
