Homebuilder Murapol climbs 15% in first Warsaw IPO in two years (updated)

Develia SA

15/12/2023 08:32

(Adds analyst quote, background, updates share move)
    By Mateusz Rabiega
       GDANSK, Dec 15 (Reuters) - Shares in Polish homebuilder
Murapol  MURP.WA  jumped on their stock market debut in Warsaw
on Friday, the market's first initial public offering (IPO) in
two years.
    The company priced its IPO at 33 zlotys per share, giving it
a valuation of 1.35 billion zlotys ($344.48 million), and
Friday's debut at 37.50 zlotys, boosted that to 1.53 billion. 
    It was Murapol's second attempt at listing. It scrapped its
previous IPO plans in 2021 citing uncertain market conditions,
pricing itself at the time at 40 zlotys a share.
    By 0935 GMT the shares were up 15.4%.
    Murapol has been operating for over 22 years in the
country's residential market across 19 cities. The homebuilder
says its competitive edge lays in geographic diversification as
well as a large landbank.    
    "The debut is good, personally I was expecting (a jump of)
around 10%, we have mid-teens, so it's a surprise for the
market" said BDM analyst Krzysztof Pado.
        The analyst said long-term performance will depend on
delivering management's "ambitious" plans to increase sales to
retail clients, and high dividend payouts.
     He added that the company's debut performance had closed
the valuation gap with most of its peers in terms of its
expected earnings. Its listed rivals include Echo Investment
 ECH.WA , Develia  DVLP.WA , Atal  1AT.WA , and Dom Development
 DOMP.WA  which range in value from 1.69 billion to 4.05 billion
zlotys.
        Murapol's debut marks the end of a two-year initial
public share offering drought for the Polish bourse which has
only seen stocks transfer from its small companies market. 
    In the last two months the WIG index  .WIG  has risen 17.8%,
while the real estate index  .NIER  has fallen 3.3%.
    ($1 = 3.9189 zlotys)

 (Reporting by Mateusz Rabiega; editing by Jason Neely and
Elaine Hardcastle)
 ((Mateusz.Rabiega@thomsonreuters.com; +48 58 769 67 57;))