En+ Deripaska was going to spend the summer IPO


Moscow. April 26. The company En+ Oleg Deripaska, a vertically-integrated producer of electricity and aluminium, is prepared to sell this summer in London 20-25% of the shares and to raise $1.8-2 billion, reports the Financial Times.

The group has hired six investment banks as advisers: Citibank, JPMorgan, Credit Suisse, Societe Generale, Sberbank and “VTB Capital”, said the newspaper’s sources.

Ahead of the July IPO, the company plans to appoint three independent Directors and a new head of the Board of Directors.

Evaluation of the En+ could reach us $7.2-10 billion, the proceeds from the sale the company intends to direct on repayment of debts. The company is highly dependent on the value of its main asset is RUSAL, the capitalization of which decreased in February by 19%.

At the same time, the placement may be delayed to October in case of deteriorating market conditions, the newspaper said.

Consolidated revenue of En+ Group (includes the revenue of En+, and RUSAL net of intragroup eliminations) for the year 2016 – $9,776 billion including revenue of En+ (energy assets, captive coal mining and logistics business, etc.) amounted to $2,482 billion.

Adjusted EBITDA of En+ group in 2016 amounted to $2,311 billion, adjusted EBITDA of En+ – a $822 million.

En+ has not disclosed the results in 2015. At the end of 2014 adjusted EBITDA was $2.2 billion (an increase of 60% by 2013), consolidated revenues of $11.9 billion (a decrease of 6%). Duty En+ is $5.5 billion.

In 2016 En+ consolidated core hydropower assets: PJSC Irkutskenergo and OAO Krasnoyarskaya GES. Sale 40% “Irkutskenergo” state “inter RAO UES” (IRAO) for 70 billion roubles became the most expensive deal of En+.

Plant En+ in 2016 increased production of electricity by 6% to 69.5 billion kWh.h. The company’s thermal station produced 12,78 billion kWh.kWh of electricity, down 2% compared with the same period in 2015.

En+ Group is the basic shareholder OK “RUSAL” (48,13%), figures which consolidates in its accounts. En+ Group owns the largest private Russian power company EuroSibEnergo, a manufacturer of ferromolybdenum “Soyuzmetallresurs”, En+ Downstream (aluminum products), significant coal assets and logistics business.

In addition to Deripaska, shareholder En+ Group is the “VTB the Capital” has bought a 4.35% stake in En+ group for $500 million in mid-2011. The funds were used to repay debt owed to the Bank. The deal was based En+ $11.5 billion Itself En+ have already talked about plans to place shares on the market, without mentioning the exact date.

IPO En+ Group is the largest Russian company in 2012.

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