Russias IPO-bound Rail Operator Rustranscom Valued At Up To $1.6b

Visual from Pixabay

VTB Capital, one of the banks working on rail freight group Rustranscom’s initial public offering (IPO), has valued the company at $1.363-1.605 billion, a VTB report on the listing seen by Reuters on Thursday showed.

Rustranscom said on April 1 it was planning to list its global depositary receipts on the London Stock Exchange in what would be the first initial public offering by a Russian firm since 2017.

Rustranscom plans to apply for LSE admission in May and offer around $300 million worth of mostly primary shares. Proceeds from the offering will be used to expand the company, the company said.

Credit Suisse Securities Limited, J.P. Morgan Securities, Sberbank CIB Limited and VTB Capital are acting as joint global co-ordinators and joint bookrunners for the planned IPO, while Societe Generale is acting as joint bookrunner.

In the report, VTB Capital said Rustranscom was the fourth largest Russian rail operator and the largest in grain, mineral fertilisers and timber shipments.

Reuters

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