United Internet Web Hosting Arm Ionos Eyes €5 Billion IPO Value

United Internet AG is eyeing a potential market value of as much as €5 billion ($5.3 billion) in the planned listing of its web hosting arm Ionos Group, in what’s set to be a litmus test for Europe’s moribund IPO market, people familiar with the matter said.

Ionos’s owners, United Internet and Warburg Pincus, have been holding preliminary meetings with fund managers in recent weeks to gauge investor appetite for the float, the people said, asking not to be identified because discussions are private. They plan to push ahead with the share sale by February based on investor feedback, they said, though timing and valuation are fluid.