VILNIUS, Sept 30 (Reuters) - Ignitis Grupe’s initial public offering (IPO) is expected to be priced at 22.50 euros, at the low end of its marketed range, valuing the Lithuanian state energy company at 1.69 billion euros ($1.98 billion).
The stock was offered at 22.50-28.00 euros per share but bookrunners organising the IPO said they were guiding investors to expect a price of 22.50 euros.
The books will close on Thursday and the company will list on or around October 7 on Nasdaq Vilnius and the London Stock Exchange.
The books were covered as of Wednesday last week, the bookrunner said.
The market for IPOs came back with a roar in September with Britain’s The Hut Group pricing the biggest debut on the London Stock Exchange in seven years, but sentiment has taken a hit after last week’s stock market sell-off.
This week saw Europe’s first IPO cancellation, with real estate company EPIC Suisse AG postponing a planned listing on the Swiss bourse.
Other European IPOs have also priced at the low end of their ranges.
In Germany, defence supplier Hensoldt and caravan maker Knaus Tabbert were both priced at the low end of expectations amid subdued investor interest.
The Ignitis IPO, consisting of 27.8% of its share capital, is expected to bring in 470 million euros ($551 million) for the company which it intends to use to fund growth.
The government will retain the remaining shares.
Sources told Reuters in August that the company was on track to launch an IPO, valuing the company at around 1.5 billion euros. (Reporting by Andrius Sytas; editing by Jason Neely)
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