Sovcombank plans to hold its first initial public offering (IPO) of common shares by listing on the Moscow Stock Exchange, the bank’s press service reported.
The indicative price range for the IPO was set at 10.50 to 11.50 rubles per share; This corresponds to Sovcombank’s market capitalization of between 200 billion and 219 billion rubles.
The public offering price will be determined by the decision of the Bank’s supervisory board following the end of the application collection period.
“Over 20 years, Sovcombank has grown from a small regional bank with one branch into one of the largest and most dynamic financial groups in Russia. The IPO is a natural step in our development, which will serve as an additional motivation factor for our employees and also provide additional opportunities for the implementation of further mergers and acquisitions,” said Dmitry Gusev, Chairman of the Board of Directors of Sovcombank.
The offering will consist of additional issue shares only and all funds raised during the IPO will be used for further business development.
The bank’s press service added that it is planned to raise 10 billion rubles as part of the IPO.