Top commodity trader Glencore is looking to a strong debut for this month’s initial public offering of shares planning to raise $11 billion (7.4 billion euros).
The listing will give Glencore cash for acquisitions amid a boom in commodity prices, but will also push it into the public eye after 37 years as a discreet private company.
Major investors have already committed to buying over thirty percent of the shares.
Abu Dhabi’s IPIC Aabar will be the largest cornerstone investor, committing $850 million (570 million euros) to the IPO. Singapore has agreed to invest $400 million (268 million euros) and BlackRock $360 million (241 million euros).
The world’s largest diversified commodities trader set a 480 to 580 pence per share price range for the London IPO.
Glencore is expected to be fast-tracked into the FTSE 100 bluechip index at close of business on the first day of trading, given its size and share of the FTSE all-share index.