Russian rail car manufacturer United Wagon Company is planning to float at least 10 % of its shares on the Moscow stock exchange in the first IPO that Russia will have seen for over a year. Part of billionaire Alexander Nesis’s ICT Group, the flotation is expected to raise about $200m, which would value the entire company at around $2bn. According to CEO Roman Savushkin, the capital will be used to finance the expansion of its rolling stock and the introduction of a new range of carriages; 35% of its existing fleet is expected to be taken out of service in the next seven years.
The last IPO on the Moscow stock exchange was that of the Lenta budget hypermarket chain in February 2014 – weeks before the annexation of Crimea.
Source: The Moscow Times