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GRQ - Don Agro International News Story

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Last Trade - 08/04/21

Sector
Consumer Defensives
Size
Micro Cap
Market Cap £31.0m
Enterprise Value £30.0m
Revenue £16.9m
Position in Universe 4938th / 6093

FACTBOX-Russian IPOs in times of crisis

Wed 30th September, 2020 7:46am
Sept 30 (Reuters) - The initial public offering (IPO) of
Russian shipping giant Sovcomflot is the first major stock
exchange flotation in Moscow in three years as deals were held
back by political uncertainties and the COVID-19 crisis.
    Sovcomflot aims to raise at least $500 million from a Moscow
Exchange debut planned for early October.  urn:newsml:reuters.com:*:nL8N2GC1PJ
    Russia, once a lucrative market for investment bankers due
to the high fees, was hoping for an equity raising renaissance
this year as a number of potential deals dropped drastically
ever since Western sanctions were imposed on Moscow in 2014 over
the Ukraine conflict. 
    The Russian stock market has been struggling to recover as
sentiment was further rattled by the pandemic, with investors
coming under pressure on concerns about potential fresh Western
sanctions against Moscow following the alleged poisoning of
Kremlin critic Alexei Navalny.  urn:newsml:reuters.com:*:nL8N2GB1O8  urn:newsml:reuters.com:*:nP6N28905W 
    
Below follows an overview of recent major market debuts of
Russian companies:
    
    * Four Russian companies went public in 2019 and 2020, with
one of them - biotechnology firm Gemabank  GEMA.MM  - debuting
in Moscow last year and raising $2.4 million. The other three
were Headhunter  HHR.O  (Nasdaq; $220 million), Kismet
Acquisition One Corp  KSMTU.O  (Nasdaq; $250 million) and Don
Agro  DONA.SI  (Singapore; $3.6 million).
    * Headhunter's 2019 debut was the first IPO of a Russian
company in the United States since Washington began imposing
sanctions on Moscow in 2014.
    * The year 2018 was the first in a decade without a single
Russian IPO. The year before Russian companies raised about $3
billion from IPOs, including Oleg Deripaska's En+  ENPLq.L 
listing in London and Moscow, according to Reuters data.
    * Fourteen Russian companies carried out their IPOs since
2015, compared with 43 deals between 2008 and 2014.
    * Before the 2008 financial crisis, 74 IPOs were held
between 2005 and 2007.
    * Four of the 14 IPOs since 2015 were held outside of Russia
– in London, New York and Singapore.
    * In the period between 2005 and 2014, 37 IPOs were carried
out in Moscow and 67 in London.
    * The biggest Russian IPO to date was a $10.7 billion float
by oil major Rosneft in London  ROSNq.L  and Moscow  ROSN.MM  in
2006, followed by an $8 billion offering of state-run VTB Bank
 VTBR.MM  in 2007.
    * Money raised by Russian companies via IPO after 2014 also
slumped, with the $1.5 billion IPO of En+ being the biggest
float since 2014.


 (Compiled by Olga Beskrovnova; Editing by Sherry
Jacob-Phillips)
 ((olga.beskrovnova@tr.com))
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