The debut of the Żabka Group will remain in the memory of investors for a long time. For the company itself and the Warsaw Stock Exchange, it was undoubtedly a success. It was the fourth largest IPO in the Polish market and the fourth largest in Europe this year. Thus, the native stock exchange may again appear on the radar of foreign institutional and individual investors. The latter have been particularly sought after by the Warsaw Stock Exchange for some time. The Żabka offering could be a milestone needed to invigorate the Polish capital market and thus encourage investors to diversify assets, often too concentrated in real estate.
However, the emotions experienced by individual shareholders today may partially discourage them from taking risks on the stock exchange. Expectations for Żabka’s shares were very high, but the rate closed exactly at the offering price, i.e., PLN 21.5 per share. On the one hand, Żabka managed to protect itself from declines in the broader market, on the other hand, the scenario of quick profit did not work out. So the question remains, did something go wrong?
Finally, the offering price managed to defend itself under difficult conditions and with very high expectations. The next few days may bring better news for investors. Soon, Żabka should be added to the mWIG40 index, and further actions are already announced by the management. Żabka’s CEO Tomasz Suchański shared information in an interview for Puls Biznesu about a planned loyalty program for shareholders. This is supposed to encourage long-term investment in the company and support its vision.
At the same time, interesting times may come for retail investors because Żabka has opened the IPO Pandora’s box. The next in line is Transition Technologies MS, which confirmed its plans on Monday, October 14, 2024. In the near future, the Studenac from the Enterprise Investors fund will also launch an issue. There is also speculation about the entry into the stock market of Diagnostyka laboratory network or the unfreezing of proceedings from Desa and Oferteo. Each of these emissions may offer an interesting investment opportunity in companies that are often present in our lives.
Maksymilian Kuch, analyst, XTB
Source: https://ceo.com.pl/czy-debiut-zabki-zniecheci-inwestorow-37393
