19-Sep-2013 9:04 AM

Volaris confirms USD346m raised in US and Mexico in IPO; shares up 15% in first day of trading

Volaris confirmed (18-Sep-2013) it raised USD346 million in its IPO on the New York Stock Exchange (NYSE) and the Mexican Stock Exchange (BMV). The carrier priced 61.9 million Series A shares at MXN15.51 (USD1.23) per share in the Mexican offering, and priced 226 million Ordinary Participation Certificates (CPO) in the form of American Depository Shares (ADS) at USD12 per ADS in the international offering. Each ADS represents 10 CPOs and each CPO represents one Series A share of common stock in the carrier. The offering was reportedly three times over-subscribed, while shares jumped 15% in their first day of trading on 18-Sep-2013. CEO Enrique Beltranena rang The Opening Bell at the NYSE and commented, "We are thankful for the support of our very well chosen bank syndicate and the NYSE which together with our shareholders have supported the company to achieve a successful public offering." Mr Beltrenana further stated, "Our revenue strategy is based on incentivising demand by offering low fares and a diversified set of optional products and services for our clients. And by maximising the utilisation of our assets and with labour contracts that include productivity and other variables, we have been able to achieve the lowest unit cost position of any publicly traded airline in Latin America." [more - original PR - Volaris - Spanish] [more - original PR - NYSE]

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