Devices & Diagnostics

Siemens raises $5.2B in Healthineers IPO, but a technical glitch caused a delay

The business' March 16 debut on the Frankfurt stock exchange was delayed by more than an hour due to technical problems with Xetra, the market's trading platform.

Siemens has raised $5.2 billion (4.2 billion euros) in its Healthineers initial public offering, according to Bloomberg. However, the business’ March 16 debut on the Frankfurt stock exchange was delayed by more than an hour due to technical issues with Xetra, the market’s trading platform, reports Handelsblatt.

Bernd Montag, CEO of the German medical imaging and diagnostic business, told CNBC the glitch wasn’t altogether exasperating.

“We had very great moments and challenging moments on this journey so half an hour at the home stretch didn’t make a big difference and we are happy that we made it anyway,” he said.

The German company is selling a 15 percent stake in Healthineers. By doing so, it hopes to boost its own standalone value.

Siemens issued shares at 28 euros each, but they opened at 29.10 apiece. The amount is lower than the initial range set by the company of 26 to 31 euros each. That also means the business didn’t quite meet anticipated valuations of around 35 billion euros.

Still, the IPO is second biggest IPO in Germany since 2000, according to Bloomberg.

In February, Siemens announced plans for Healthineers to go public. But that wasn’t the first time the company revealed its intentions. In November 2016, Siemens made the same claim.

In addition to a focus on diagnostics and medical imaging, Healthineers recently made its mark in the population health space through its acquisition of Medicalis last spring.

Photo: jxfzsy, Getty Images

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