Success Of Russian IPOs Dependent From Small And Midsized Companies

Russian companies had started again to look for investors money after long period of compel downtime forced by impacts of the financial crisis. And it is not just the plain talks  of top-managers about ‘possibilities’ or ‘plans’ — the IPO process and engagement of financial advisers and bankers is running in several Russian companies already.

We are talking about shares placement not only of large moguls with capitalisation over $1 billion, among which would be important to mention Rusagro, Vertolioty Rossii (Russian Helicopters), Euroset and Metalloinvest. The process of fundraising has been found attractive in current economical conditions also by a much smaller companies. 

Noticeable among mid-size companies are “Vital development corporation” (reagent producer) valued by Finam investment bank at 2.9 billion rubbles which has a plan to list 400 million rubles worth of shares on the stock exchange. Another one is “Syktivkar tissue group” (toilet paper producer) with 700 million rubles at IPO stake. 

Successful IPO’s of such companies, among the growth of amount of such IPO’s would index the recovery of financial market and its mechanisms as a whole.

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