by Andrea Malan
The initial public offering of Ferrari will hit the market at $52 per share, at the top of a previously announced range of $48-$52 thanks to strong investor demand. At that price, parent Fiat Chrysler Automobiles (FCA) will raise $893 million (just over €787 million at current exchange rates). The IPO gives Ferrari a market value of around $9.8 billion.
Fiat is selling 10% of its stake in Ferrari, including an over-allotment option. Shares will start trading on the New York Stock Exchange under the ticker symbol RACE at 9:30 am Eastern Standard Time (15:30 in Italy). FCA chairman Sergio Marchionne will ring the opening bell. Underwriters saw net demand for shares outstrip supply as the red-hot Ferrari name, which regularly tops the list of the world's strongest brands, managed to shrug off a difficult economic climate that has seen more than one IPO founder.
