Ocado chief executive Tim Steiner said he would not sell his current shareholding in the company even at 275p per share - despite shares falling as low as 163p this morning.
Ocado was yesterday forced to slash the asking price for shares to 180p well below the original valuation of between 200p and 275p.
This puts the value of Ocado at £937m - closer to estimates of many city analysts and much lower than the £1.1bn original valuation
Steiner said he was unconcerned at the share low price this morning.
"I am not really surprised a couple of hedge funds want to have a pop," he added.
He said the decision to drop the asking price was to ensure the quality of long-term blue chip investors in the company. These investors are a mix of international backers with 40 from the UK, 30% Europe and 30% US.
The company has raised "sufficient funds" with the £200m it was seeking to invest in the business. The company already has a £100m Capex facility, he argued, which would have ensured growth of the business if it had not reached the £200m barrier.
However, he accused some analysts of "wanting to get their name in the press" by commenting on the valuation of the Ocado float. "Analysts should not be writing in a black-out period," he argued.
He also said reports that HSBC said the company would not make a profit until 2014 were "misreported" either by lack of understanding or manipulation.
Read more
Ocado customers cool on shares offer (19 July 2010)
Ocado eyes US investors as doubt over IPO mounts (16 July 2010)
City warns investors off 'over-priced' Ocado (14 July 2010)
Ocado was yesterday forced to slash the asking price for shares to 180p well below the original valuation of between 200p and 275p.
This puts the value of Ocado at £937m - closer to estimates of many city analysts and much lower than the £1.1bn original valuation
Steiner said he was unconcerned at the share low price this morning.
"I am not really surprised a couple of hedge funds want to have a pop," he added.
He said the decision to drop the asking price was to ensure the quality of long-term blue chip investors in the company. These investors are a mix of international backers with 40 from the UK, 30% Europe and 30% US.
The company has raised "sufficient funds" with the £200m it was seeking to invest in the business. The company already has a £100m Capex facility, he argued, which would have ensured growth of the business if it had not reached the £200m barrier.
However, he accused some analysts of "wanting to get their name in the press" by commenting on the valuation of the Ocado float. "Analysts should not be writing in a black-out period," he argued.
He also said reports that HSBC said the company would not make a profit until 2014 were "misreported" either by lack of understanding or manipulation.
Read more
Ocado customers cool on shares offer (19 July 2010)
Ocado eyes US investors as doubt over IPO mounts (16 July 2010)
City warns investors off 'over-priced' Ocado (14 July 2010)
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