The bid book for the secondary public offering of Russian oil and gas pipe producer TMK was oversubscribed under the current guidance range, a banking source reported.
The company guided investors for a pre-market placement price of 74.5 rubles per security. The bid book will be closed at 7.00 p.m. Moscow time on February 7, the source said.
TMK said it launched the SPO to offer up to 139,000 million common shares corresponding to 13.44% of the company’s capital.
The company’s subsidiary Rockarrow Investments Limited will sell the shares, and TMK will spend the collected money to buy back its shares from VTB Bank under an option according to an agreement with the bank. The buy-back volume will not exceed funds raised in the SPO.
Credit Suisse, Morgan Stanley, VTB Capital and Aton act as organizers of the placement. (Prime/Ukrainian metal)