MTS Bank held an initial public offering (IPO) and announced the start of trading of ordinary shares on the Moscow Stock Exchange under the symbol MBNK on April 26.
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The placement was carried out at the upper limit of the price range: the cost of one share was 2.5 thousand rubles, according to the bank’s materials.
The market capitalization of MTS Bank, taking into account the securities issued within the framework of the IPO, at the beginning of trading will be approximately 86.6 billion rubles.
It is reported that investor demand was approximately 15 times the volume of the IPO and the final placement volume reached 11.5 billion rubles.
In total, more than 200 thousand applications from retail and institutional investors were submitted for a total of approximately 168 billion rubles. The IPO set a record in the Russian market in terms of demand and number of investor applications.
The participation of the Bank’s shares in free float (free-float) based on the results of the placement will be approximately 13.3%.
The Bank, its majority shareholder and its affiliates agreed to limit the disposal of shares within 180 days from the start date of trading on the Moscow Stock Exchange.
As part of the IPO, a stabilization mechanism of up to 1.5 billion rubles has also been structured, which will be valid for 30 days after the start of trading.
The funds the bank raised during the IPO will be used to implement its growth strategy and further scale its retail business.
Author:
Anastasia Marina
Source: RB
I am a professional journalist and content creator with extensive experience writing for news websites. I currently work as an author at Gadget Onus, where I specialize in covering hot news topics. My written pieces have been published on some of the biggest media outlets around the world, including The Guardian and BBC News.
