Globaltruck to sell up to 3.8% of group shares acquired as part of buyback on market

MOSCOW. Feb 26 (Interfax) - Leading Russian FTL trucking company Globaltruck (Globaltruck Management PJSC , GTM) plans to sell up to 3.77% of its shares acquired as part of the buyback announced under the previous owner on the Moscow Exchange to motivate management, the company said in a statement.

The group's board made the relevant decision on February 22.

According to the Globaltruck statement, there are plans to sell up to 2,208,888 ordinary shares from February 26 to September 30, 2024. The actual number of securities sold and, accordingly, the amount of funds raised will depend on price trends and market conditions.

"The indicated stake in GTM was acquired as part of a buyback program carried out through the group's operating company, Globaltrak Logistics LLC. It was envisaged that it would be used as part of a long-term incentive program for GTM management. Due to the completion of the motivation program and the buyback program, it was decided to sell the securities on the Moscow Exchange," the company said in a statement.

The funds received from sale of shares will be used for the development of Globaltruck's business, including the expansion of the company's vehicle fleet.

"The sale of quasi-treasury shares will allow Globaltruck to continue implementing its development strategy in the logistics market without increasing its debt load. The proceeds from the sale of the shares will be used to overhaul the vehicle fleet: the company plans to increase its fleet of Chinese trucks to 300 units," the carrier said in the statement.

The terms of the exchange share sale program may be changed. It may be finalized upon reaching the limit number of securities sold.

Globaltruck announced the launch of a buyback of up to 5% of the group's shares in November 2019, when Globaltrans co-founder and board member Alexander Eliseev was the group's major shareholder. The buyback volume was announced at up to 386 million rubles. In May 2022, the carrier announced the expansion of the program to 7% of shares (4,092,348 shares) without increasing its volume. At the same time, as of February 2022, approximately 3.4% of the group's securities were acquired as part of the buyback.

In April 2023, the controlling stake in Globaltruck was acquired by the Monopoly group of logistics companies. The transaction amount exceeded 3.6 billion rubles.