Software company Planisware surged as much as 33% in its Paris trading debut, raising €278 million and offering a sign of life in Europe's long-dormant IPO market. Shares opened at €21.01, well above the initial public offering price of €16 per share, valuing the firm at €1.1 billion. Planisware's success marks a positive step for sizeable European tech listings, following a two-year drought for initial public offerings in the sector.
The strong debut comes after a challenging period for European stock exchanges, particularly in attracting tech and media companies. The most recent significant listing in the sector was Technoprobe S.p.A, which raised more than €700 million in early 2022.
While encouraging, industry experts like Edmund Shing, global CIO at BNP Paribas Wealth Management, caution against interpreting Planisware's performance as a broad market turnaround. He notes that European software firms are in demand but emphasises that smaller tech IPOs may face challenges attracting widespread retail investor interest, who typically focus on larger, well-established tech names.
Planisware's founders retain a majority stake in the company. The IPO also attracted €100 million in cornerstone investments, including funding from CDC Tech Premium, a French public fund dedicated to supporting European tech listings. As of 9:43 a.m. in Paris, shares in Planisware were trading 28% higher at €20.53.
