INTERNATIONAL - Volkswagen’s truck unit Traton made a lackluster start on its market debut on Friday as its shares slipped below their initial public offer price in early trade.
The shares opened at their IPO price of 27 euros ($30.75) and then slipped slightly to 26.64 euros a share. Germany’s benchmark DAX index was flat.
Weak demand for German listings forced VW to scale back its IPO of Traton and it priced the offering at the low end of its target range.
On Wednesday, online fashion retailer Global Fashion Group slashed its initial public offer price, citing “current market conditions”, in a bid to salvage its stock market listing.
Volkswagen floated 11.5 percent of Traton’s shares in a scaled back initial public offering which had initially sought to list a stake of up to 25 percent of the shares and put the company’s truck business on an independent footing.