Electroalfa’s initial public offering (IPO) will take place between February 2 and 11, at a price range set between 8.35 and 8.85 lei per share. Electroalfa will capitalize through a stock exchange listing, in which it intends to reach a free-float of about 35% of the shares, to support an ambitious expansion plan. The company could obtain a maximum of 584 million lei from the stock exchange, at the higher price range of the share. An average value submitted by certain sources is about 100 million euro.
“The investments that will come will exceed everything that has happened so far,” the company’s vice president, George Ciubotaru, told us, estimating the total annual investment at about 24 million lei, in the recent period. He claims that the number of employees has increased by about 20% in the last year, to 590 people, the company also launching new business lines. At the same time, the company is present on international markets, though 77% of its turnover is formed on the Romanian market.
The offer is structured with 90% of shares allocated to institutional investors and 10% to retail investors, with the possibility of reallocating up to 5% between tranches, depending on demand. Retail investors benefit from a 5% discount on the final price in the first four days of subscription. The final price will be established through the bookbuilding mechanism.
Electroalfa has launched an initial public offering for the sale of up to 65,990,507 newly issued shares, representing approximately 35% of the total number of shares issued, as part of a share capital increase. The offer is being carried out following the approval of the Prospectus by the ASF, and following its completion – within approximately 10 days of application – the Company will request admission to trading of the shares on the regulated market administered by the Bucharest Stock Exchange. The intermediaries of the transaction are SSIF Swiss Capital S.A. and UniCredit Bank S.A.
