On 26 May 2016 PJSC “Research and production corporation “United Wagon Company” (“RPC UWC” or the Company), the market leader in innovative railcar building in the 1520 mm gauge area, announced the results of the secondary public offering (the “Offering” or the “SPO”) of its ordinary shares (the “Shares”) on the Moscow Exchange.
- 7,867,948 shares or 6.9% of the increased authorized capital have been placed under the Offering raising a total of RUB 5.0 billion
- The proceeds will increase RPC UWC equity to RUB 80 bln1. The money will be used to reduce the current debt
- More than 70 institutional and retail investors, including Company’s management, have acquired the Shares. United Wagon Plc., a subsidiary of ICT Holding Ltd., willing to maintain its stake in RPC UWC, has also invested in the Shares
- As a result of the SPO, the Company’s free-float reached 39%
- Otkritie Financial Group was the lead manager and bookrunner of the Offering
- LECAP team led by partners Elizaveta Turbina and Michael Malinovskiy provided full legal support in relation to the SPO
Roman Savushkin, RPC UWC’s CEO, commented, “We are pleased to announce the successful completion of the SPO and welcome our new shareholders. The Company intends to use the raised capital to strengthen its balance and improve the financial flexibility to move closer to its strategic goals aimed to keep the Company’s value growing”.
In April 2015 RPC UWC completed RUB 9.028 billion initial public offering of its shares on the Moscow Exchange. LECAP team acted as legal advisor on this deal which became one of the largest public offerings of shares of Russian companies over the last few years.
According to RAP