Casino's Cnova rises above lowered IPO price in U.S. debut
By Dominique Vidalon
PARIS/NEW YORK (Reuters) - Shares in Cnova rose 9 percent on their first day of trading on the New York stock exchange on Thursday after tough market conditions forced French parent Casino (CASP.PA: Cotización) to price the its e-commerce business well below the initial indicative range.
Cnova CNV.O competes with global online retailer Amazon.com AMZN.O and sells consumer electronics, computers and home appliances.
Shares opened at $7.63 on New York-based Nasdaq, above its offer price of $7 per share. Retailer Casino priced the initial public offering well below the $12.50-$14.0 target range.
Cnova's debut follows a surge in e-commerce initial public offerings activity this year, culminating in the bumper New York flotation of China's Alibaba BABA.N in September.
However, major global online retailers have not done well in recent months, with Amazon's sales forecast for the crucial holiday quarter disappointing Wall street.
A lacklustre stock market debut by Europe's largest online fashion retailer Zalando ZALG.DE in Frankfurt and a deteriorating economic climate in France and Brazil where Cnova makes most of its business also dampened investors' appetite.
A BLOW FOR CASINO Continuación...