PARIS, Nov 20 (Reuters) - French retailer Casino said on Thursday that the its e-commerce business Cnova would be sold on the stock market at $7 a share, well below a $12.50-$14.0 target range.
The company said in a statement that it expected gross proceeds of $188 million from the sale of 26,800,000 ordinary shares on the New York-based NASDAQ, representing up to 7 percent of Cnova’s capital.
“For Casino, this IPO is a good opportunity and represents a long-term investment,” a Casino spokeswoman told Reuters.
Cnova, which has nearly $4 billion in annual sales in France, Brazil, Colombia, Thailand, Vietnam and Africa, has said the money would be used to further its expansion into new territories and launch new websites.
Casino said Cnova had granted the underwriters a 30-day option to buy up to 4,020,000 additional shares at the initial public offering price. (Reporting by Leigh Thomas; Additional reporting by Gwenaelle Barzic; Editing by Nick Vinocur)