HomeBusinessLNG exporter Venture Global collects $ 1.75 billion in the American stock...

LNG exporter Venture Global collects $ 1.75 billion in the American stock market introduction

(Reuters) – Exportor of liquid natural gas venture Global said on Thursday that it had collected $ 1.75 billion, which marked the first major stock market introduction of President Donald Trump’s second term, while investors gambled on his plan to stimulate American energy production.

Venture Global is the second largest exporter of liquid natural gas, or LNG, in the United States, and one of Trump’s first steps after his inauguration was to sign an executive order to put an end to a moratorium on New LNG export permits, with which an obstacle is removed. to the venture Global expansion plan.

However, the company was forced to almost halve the appreciation it pursued after investors had opposed his estimates of the long -term profit for export, Reuters reported on Wednesday.

The range of 70 million shares was sold for $ 25 each, within a revised bandwidth of $ 23 to $ 27 each. The company also increased the number of shares offered.

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The company initially set itself the goal of selling 50 million shares for $ 40 to $ 46 each, to raise no less than $ 2.3 billion for a rating of $ 110 billion.

Trump had promised to partially maximize American oil and natural gas production by cleaning up what he considers unnecessary regulation and bureaucracy. Trump has also said that he wants European companies to buy more American LNG.

The range of Venture Global extends a strong start of the year before stock market introductions, supported by interest rates by the US Federal Reserve and expectations of deregulation and reductions of corporation tax among the Trump government.

The shares of oil field service provider Flowco rose during their market debut last week, while Smithfield Foods will go to the stock exchange next week with a valuation goal of $ 10.7 billion.

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Venture Global has five LNG projects in various stages of development near the Gulf of Mexico in Louisiana and expects a total peak production of 143.8 million tons per year.

Developers such as Venture Global have built terminals along the American Gulf Coast to make and ship the gas liquid, making the United States the largest LNG exporter in the world.

Investors were concerned about the fact that Venture Global was confronted with contract arbitration stores that were filed by some of the world’s best oil and gas producers, including BP, Shell and Repsol, for charges that were exported from the first project of the company, the Calcasieu Pass factory.

Things can cost Venture Global billions of dollars if it loses, according to the IPO document.

Despite the price revision, the market value of Venture Global is on course to exceed rival Cheniere Energy, currently the largest American LNG exporter, with a market value of approximately $ 52.36 billion.

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