InPost IPO 10x oversubscribed as Amazon market entry boosts sentiment

27 January 2021

InPost‘s IPO ended up around ten times oversubscribed as news that e-commerce giant Amazon [NASDAQ:AMZN] would enter its Polish home market boosted sentiment on its first day as a public company, two sources told this news service.


Allocations were heavily geared towards long-only investors, with a strong presence of tech-oriented funds, the two sources said. Hedge funds took up just a “high single digit” percentage of the paper, the first source said.


Meanwhile, the offering “attracted the ‘who-is-who’ in global tech funds that participate in all the major tech IPOs across the world”, the first source added.


Geographically, US investors took up around 45% of the book, Western European, mostly UK-based, names took another 45% and the remainder went to funds from the rest of the world, the first source said. Polish institutional investors received a small percentage, which was natural considering the choice of Amsterdam as listing venue, he added.


The Polish parcel-locker company closed bookbuild of its Amsterdam IPO yesterday (26 January) at EUR 16 per share, for an implied market cap of EUR 8bn. Shares opened today at EUR 19 apiece and were trading at EUR 18.5 by mid-afternoon continental European time. 


The listing of InPost coincided with an announcement by Amazon that it is preparing to set up a Polish based website so local shoppers will no longer have to order via its German site. The announcement was clearly positive for InPost, the two sources said. Amazon is already a client of the company, and an anticipated fight between Amazon and Polish e-commerce firm Allegro [WSE:ALE] can only be beneficial for InPost, the first argued.


Advent International-backed InPost announced its intention to float in Amsterdam on 13 January. CitigroupGoldman Sachs and JPMorgan were global coordinators.


InPost declined to comment.