LONDON: Rustranscom plc, a leader in specialized rail freight transportation in Russia and Kazakhstan, has confirmed its intention to proceed with the initial public offering (IPO) of global depositary receipts (GDRs) representing ordinary shares targeting to raise USD 300 million.
According to details, Rustranscom plc intends to apply for the admission of the GDRs to the official list and to trading on the regulated market for listed securities maintained by the London Stock Exchange (LSE) through its international order book. The admission is expected to take place in May 2019.
The offering is expected to comprise predominantly primary shares, in the amount of circa USD 300 million, with a potential secondary component offered by Molesto Investments Ltd., a company beneficially controlled by Konstantin Sintsov and Konstantin Zasov, co-founders of RTC. Molesto Investments Ltd. owns a 95.72% stake in the Company, with the outstanding shares owned by Triticum Investments Limited, a company established in connection with the Company’s Management Incentive Programme.
The offering will include a targeted offering in the United States to qualified institutional buyers and outside the United States to institutional investors in offshore transactions.
Primary proceeds from the offering are intended to be used for acceleration of the Company’s growth, including via acquisition of rolling stock for its key business segments and further market consolidation.
Credit Suisse Securities (Europe) Limited, J.P. Morgan Securities plc, Sberbank CIB (UK) Limited and VTB Capital plc are acting as Joint Global Co-ordinators and Joint Bookrunners and Société Générale is acting as Joint Bookrunner. Cleary Gottlieb is acting as legal counsel to the Company and the Principal Shareholder, and Clifford Chance is acting as legal counsel to the managers in connection with the offering.[the_ad id=”31605″]