Fourth time lucky?

Investor’s reactions to the news that the Italian government is to sell a fourth tranche of its stake in Enel will depend on when they first bought the stock. Those that got in on the Italian utility’s 1999 privatisation haven’t fared particularly well. Total returns including dividends and bonus shares would be 12%. This works out to about a measly 2% per year. But buyers in more recent rounds did far better. Those that bought in 2003 and held on would have seen a 30% annualised return. And inv...