12 Jan 2011 10:48

Koks may raise $500 mln in IPO - FT

LONDON. Jan 12 (Interfax) - The initial public offering (IPO) in London just announced by Koks Group could raise more than $500 million, the Financial Times reported.

The Russian coking coal group believes the IPO will value the company at up to $2.5 billion, the newspaper said.

The Federal Financial Markets Service (FFMS) cleared Koks to place 82,511,600 shares abroad (25% of existing ordinary shares) at the end of December. Koks shareholders had approved an underwriting agreement with Citigroup, UBS and VTB Capital in September.

The offering of ordinary shares and GDR will be provided by Boris Zubitsky and his two sons, Yevgeny and Andrei, who owned 85.83% of shares (26.67%, 32.05% and 27.11% respectively) as of October 1, 2010.

Sources told Interfax in mid-May 2010 that Koks planned to restart the IPO process that had been interrupted by the global financial crisis. The interested parties had a "principle understanding" that the IPO might raise $300 million-$400 million.

Koks includes OJSC Tulachermet, OJSC Combine KMAruda, OJSC Krontif-Center, CJSC Koks, Coke Area LLC, Vladimirskaya Mine, Romanovskaya-1 Mine, CCM Berezovskaya and Butovskaya Mine (Chesnokovsky sector of Kemerovo coal deposit) and the S.D. Tikhov Mine (Nikitinsky coal deposit, Grade Zh coal), as well as Polema, Ufaleynickel and Rezhnickel.