Germany priced the initial public offering of a 40 percent stake in its state rail operator on Wednesday, raising €11 billion in Europe's largest listing this year. Books were covered within hours of opening, according to people close to the deal.
The listing values the group at €27.5 billion and is the centerpiece of Berlin's program to recycle state assets into infrastructure spending. Retail investors were allocated 15 percent of the offer, the largest such tranche in a German privatization since the 1990s.
Bankers said the strong demand is likely to pull forward several European listings that had been postponed since spring, with two industrial carve-outs expected to launch roadshows before the end of the month.