Stock low for Hello-Fresh - Rocket Internet is separating
Fresh capital against HelloFresh shares
The fresh capital raised by Rocket Internet through the sale of HelloFresh represents a major setback for shareholders. The sale of the cookbox mail order company HelloFresh raised 150 million euros. But this sale has a sour taste, because Rocket had to endure a high discount on the current stock market price. This was the only way to sell the paper to the investors. The start-up company sold around 12.2 million share certificates at a price of 12.30 euros. This price was around Euro 1.06 below the last Xetra closing price, which was Euro 13.36.
Sale leads to price drop at HelloFresh
While the call option on the previous day was still a bargain, the share price fell by around eight percent on Thursday, reaching a low of 12.25 euros. The message is particularly critical for shareholders, because why would a company like Rocket Internet sell shares if the long-term business outlook remained positive? In particular, the fact that the shares were only placed on the stock exchange in the autumn and Rocket is now selling them at a substantial discount is fueling investor mistrust.
However, the sale of the shares in Rocket-Internet also led to a price drop. Although this did not reach the level of HelloFresh, the share price nevertheless fell by around 1.7 percent. Overall, however, the sale of the shares led to a positive result, as the HelloFresh share rose by 11.7 percent despite the setback.
HelloFresh - a classic growth company
HelloFresh was founded in 2011 and now employs around 2,000 people who deliver millions of meals to customers. The increasing acceptance and demand made itself felt in the past fiscal year, so that the company was able to record a sales increase of around 50 percent. According to the analysts, sales were between 902 and 905 million euros. As is usual for a growth company, HelloFresh is not yet in the black, but plans to reach the EBITDA profit threshold in the fourth quarter of the current year.