Shares in Nexi began trading on Tuesday, after Italy’s biggest payment-services group last week raised just over €2 billion euros ($2.3 billion) and secured a market valuation of about €5.7 billion when it listed last week, marking Europe’s biggest IPO so far this year.
While it’s down 6% in Milan trading, it’s a rare positive sign for European listings. Brexit worries and a market rough patch in 2018 saw many IPO plans shelved or scrapped altogether.
The Milan-based group— which issues credit cards, manages cash machines, and provides digital solutions — priced its shares at €9, giving it a value of €7.3 billion including debt, according to Bloomberg. It raised capital of €700 million, which it has earmarked to pay down its debt of €1.7 billion.
Nexi has partnerships with around 150 Italian banks and commands a market share of 60% in card issuing, according to Bloomberg.
Its public introduction follows the billion-dollar debuts of two other European payment processors in the past year — Network International in London earlier this month, and Adyen NV in Amsterdam last June.
Unlike some big-name US IPOs lately, Nexi makes a profit. reported operating revenue of €931 million in 2018, generating net income of €20 million.