Investors were cautious as Italian utility Enel kicked off the sale of a third of the shares of its
renewable energy division – Enel Green Power.
Enel wants to raise up to three point four billion euros with the partial sale.
It is Europe’s biggest initial public offering of shares in three years.
Enel, which has borrowed more money than other utilities, wants to use the proceeds to cut its massive debt.
Chief Executive Fulvio Conti said institutional and retail investors had given “very promising” feedback on the IPO.
However Enel has been forced to cut the price target for each share to between 1.8 and 2.1 euros.
Earlier they had been talking about a range of 1.9 to 2.4 euros.
Some investors said the shares would be attractive as a long term investment only if priced at the lower end of the range.
EGP will debut on the Milan and Madrid bourses on 4th November.