24 Mar 2020

Eleven Capital AD with successful IPO amidst COVID-19 crisis

Eleven Capital AD is the youngest member of the Bulgarian Stock Exchange family, after successfully placing 302 264 shares with nominal value of 1 BGN and emission value of 7 BGN per share. The company raised BGN 2.1 mln. in the Initial Public Offering (IPO) with more than 90 participants, among which some of the leading Bulgarian pension and mutual funds. In the IPO actively participated a lot of individual investors from the IT and enterprenurial communities, who gave their vote of confidence to the management team of Eleven Capital.

 

The IPO, even though small in size, was remarkable in value. It was the first public offering on the Bulgarian Stock Exchange for 2020, and probably the only successful one in Europe, realized amidst the global crisis inflicted by the COVID-19 virus. The results are even more astonishing when we take into account the performance and volatility of the financial markets in the moment. For the past two weeks only, all the major capital markets erased large portions of their capitalization, with leading indexes dropping by more than 15-20%: SOFIX -23%, S&P -19%, DAX -16%.

 

„In a very difficult and volitile economic enviroment our investors gave us a vote of confidence and for that we are extremely grateful. We have a lot of challenges and hard work ahead of us, together with the companies from our portfolio that will receive additional funding from the capital raised in the IPO. We believe many of them will have an opportunity to fully reach their potential in the midst of the complex current state of the economy" commented from the company. 

With the capital that was raised in the IPO Eleven Capital will make additional investments in the companies from their existing portfolio. The majority of them operate in fast-growing market segments such as IT, software and SaaS, e-commerse and smart products. With the additional funding Eleven Capital is looking to further support their growth. 

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