Reuters logo
UPDATE 1-Russia's Obuv Rossii raises $105 million in IPO in Moscow
October 20, 2017 / 1:21 PM / a month ago

UPDATE 1-Russia's Obuv Rossii raises $105 million in IPO in Moscow

(Adds detail)

By Olga Popova and Olga Sichkar

MOSCOW, Oct 20 (Reuters) - Russian shoe retailer Obuv Rossii said on Friday it raised around 6 billion roubles ($105 million) in an initial public offering in Moscow, signalling a new series of IPOs in Russia.

Obuv Rossii sold shares at 140 roubles per piece, the lower boundary of a 140 to 170-rouble range announced in early October.

Including over-allotment shares, the total size of the offering reached 6.2 billion roubles.

As of 1135 GMT, Obuv Rossii shares traded at 141 roubles.

The IPO is a further sign of recovery in Russia’s new issues market, with a growing number of Russian companies saying they would like a listing on the Moscow Exchange.

Companies looking into IPOs include EN+, an aluminium and hydropower group controlled by tycoon Oleg Deripaska, and cargo company Globaltruck .

Anton Malkov, a managing director at Sberbank CIB, which organised the IPO, said on Friday 75 percent of bids for Obuv Rossii shares came from institutional investors, most from the U.K. and Scandinavia.

Obuv Rossii will use the funds it raised for a planned expansion, said Anton Titov, the company’s head and the main shareholder.

Obuv Rossii, which in Russian means shoes or footwear of Russia, plans to open 150 stores a year. It aims at opening 15 new stores in Moscow, where it currently has two.

The IPO became possible as the Russian economy recovers and foreign investors make a cautious return, despite Western sanctions over the Ukraine conflict.

After two years of contraction, the oil-dependent economy is expected to grow by around 2 percent, the central bank predicts.

$1 = 57.4170 roubles Writing by Andrey Ostroukh and Maria Kiselyova; Editing by Larry King

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below