Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Stock Exchange of Hong Kong  >  United Company Rusal Plc    0486   JE00B5BCW814

UNITED COMPANY RUSAL PLC (0486)
My previous session
Most popular
  Report  
SummaryChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsOfficial PublicationsSector newsTweets

Russia's En+ sets price range for flotation set to raise $1.5 billion

share with twitter share with LinkedIn share with facebook
share via e-mail
0
10/23/2017 | 11:26am CEST

MOSCOW (Reuters) - Russia's En+ Group, which manages tycoon Oleg Deripaska's aluminium and hydropower businesses, has set a price range for a planned stock market flotation that will test investor appetite for Russian assets three years after the Ukraine crisis.

En+ expects to raise a total of $1.5 bln through the IPO and plans to use the bulk of the proceeds to cut debt, in particular, to the state bank VTB (>> Bank VTB PAO).

The initial public offering (IPO), to be carried out in London and Moscow, will be the first major float of a Russian company in London since 2014, when Russia's annexation of Ukraine's Crimea region provoked western sanctions.

It could also provide a boost to London's IPO pipeline, which has slowed following Britain's vote to leave the European Union.

En+ acknowledged the political issues it faces. "The sanctions package may have a material adverse effect on the Russian financial markets and investment climate and the Russian economy generally and could, in particular, materially adversely affect the group’s business, results of operations, financial position and prospects," it said in its IPO prospectus.

The price range was set at between $14 and $17 per Global Depositary Receipt (GDR), with the company's stock market value expected in a range of $7 billion to $8.5 billion on a "pre-money" basis, ignoring cash raised in the IPO. En+ said it expects to set the final sale price on Nov. 3.

The offering will represent 15.8 to 18.8 percent of En+'s issued share capital excluding an over-allotment option.

INTERIM DIVIDEND

En+ owns assets in metals and energy, including a 48 percent stake in Hong Kong-listed aluminium producer Rusal (>> United Company Rusal Plc), which is a big consumer of hydroelectricity produced by companies owned by En+.

En+ said in early October it aimed to raise $1.5 billion from its IPO and the intention of Singapore's AnAn Group, a strategic partner of China's CEFC, to purchase GDRs during the deal for $500 million.

Since then, En+ also approved an interim dividend of $125 million to be paid in December and agreed a swap deal with Glencore (>> Glencore), another shareholder of Rusal.

Glencore will swap its 8.75 percent stake in Rusal for shares in En+ after the IPO. En+'s stake in Rusal will rise to 56.88 percent as a result of the conversion.

The IPO comes as prices for aluminium have risen 28 percent on the London Metal Exchange <CMAL3> so far this year. On Monday, Rusal said its aluminium production rose 1.1 percent in the third quarter from the previous three months.

Rusal shares are up around 60 percent since the start of 2017, and En+'s 48 percent stake in the company has a market value of almost $5 billion, according to Reuters data.

Shares in Rusal came under pressure earlier in October after two of its other shareholders - tycoons Mikhail Prokhorov and Viktor Vekselberg - sold a 3 percent stake in the company for $315 million.

Glencore's upcoming stake swap with En+ also put pressure on shares of Rusal, which said in a statement on Friday that the swap would not result in any changes to its public status.

(Additional reporting by Gabrielle Tetrault-Farber in Moscow and Dasha Afanasyeva in London; Writing by Polina Devitt and Katya Golubkova; Editing by Jason Neely and David Holmes)

By Anastasia Lyrchikova and Olga Popova

Stocks treated in this article : United Company Rusal Plc, Bank VTB PAO, Glencore
Stocks mentioned in the article
ChangeLast1st jan.
BANK VTB PAO --End-of-day quote.
GLENCORE -0.11% 313.2 Delayed Quote.-19.59%
UNITED COMPANY RUSAL PLC 1.00% 2.03 End-of-day quote.-63.09%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on UNITED COMPANY RUSAL PLC
10/10BP CEO - Rusal-like sanctions on Rosneft would shut Europe energy system
RE
10/09Norsk Hydro Gets OK to Run Alunorte Refinery at Half Capacity
DJ
10/09UNITED RUSAL : India's aluminium makers win Japan sales in market shake-up
RE
10/04Aluminum Extends Climb on Refinery Closure
DJ
10/01Japan fourth-quarter aluminum premiums set 22 percent lower than third quarte..
RE
09/28Aluminum Makers Feel Sanctions -- WSJ
DJ
09/27Aluminum Makers' Profits Suffer as Prices Rise for Key Ingredient
DJ
09/06EXCLUSIVE : Customers to shun Rusal at Berlin 'mating season' for 2019 aluminum ..
RE
09/04Alcoa braces for alumina strike vote in Western Australia
RE
08/28UNITED RUSAL : Russia may buy aluminium for state stocks to support Rusal - mini..
RE
More news
News from SeekingAlpha
2017United Company Rusal PLC reports Q1 results 
2017United Company Rusal PLC reports Q4 results 
2017UC Rusal Proposes An OPEC Of Aluminum To Somehow Contain Chinese Production 
2016Aluminum, Stick Or Twist, Bubble Or Burst 
2016United Company Rusal PLC reports Q3 results 
Financials ($)
Sales 2018 10 354 M
EBIT 2018 1 598 M
Net income 2018 -
Debt 2018 6 305 M
Yield 2018 11,6%
P/E ratio 2018 7,62
P/E ratio 2019 4,47
EV / Sales 2018 0,99x
EV / Sales 2019 0,86x
Capitalization 3 937 M
Chart UNITED COMPANY RUSAL PLC
Duration : Period :
United Company Rusal Plc Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends UNITED COMPANY RUSAL PLC
Short TermMid-TermLong Term
TrendsBullishNeutralBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 2
Average target price 0,85 $
Spread / Average Target 228%
EPS Revisions
Managers
NameTitle
Evgeny Nikitin CEO, Director & Director-Aluminum Division
Vladislav Aleksandrovich Soloviev President
Artur Matthias Warnig Independent Non-Executive Chairman
Oleg Mukhamedshin Director-Strategy & Financial Markets
Victor Mann Director-Technical
Sector and Competitors