Fairfax Media Limited (ASX:FXJ) has announced that its planned initial public offering for its New Zealand online auction business, Trade Me website, has been priced at $NZ2.70, valuing the auction site at around $900 million.
The underwritten offer is for 134.6 million shares, representing 34 per cent of the Trade Me Group.
Fairfax expects to receive around $280.5 million from the IPO to be lodged with regulators in the next two days.
Fairfax announced plans to spin off Trade Me in August in an effort to reduce debt.
In the 2011 financial year Fairfax Media reported a net loss of $390 million.
