Russian retailer of children’s goods Detsky Mir announced plans to offer 30% of its shares in an IPO, TASS reported on January 16.
The retailer’s main shareholder, AFK Sistema multi-industry conglomerate, which currently owns a 72.63% share in Detsky Mir (Children's World), will keep a controlling stake. Another 23.1% is currently owned by the Russian-Chinese Investment Fund, 1.79% by general director Vladimir Chirakhov, and 2.48% by the management.
Goldman Sachs, Credit Suisse and Morgan Stanley will be coordinators and bookrunners of the IPO, while Russia’s UBS and Sberbank CIB will also be bookrunners.
Only existing shares of the retailer will be offered in the IPO, which Sistema head Vladimir Yevtushenkov said in October will take place in Russia or Britain in March 2017.
Detsky Mir runs 480 retail outlets in 171 cities of Russia and Kazakhstan and also develops a retail chain under the name ELC, which currently has 45 outlets for a total of 525 stores.
In 2016, Detsky Mir opened 100 stores. The company saw its net income soar by 70% year-on-year to RUB600mn ($9mn) and gross profits were up by a third (32%) to RUB11.2bn (160mn) in January-June 2016, bucking the trend of contracting retail sales.
Related Articles
Nairobi confirms Kenyan nationals joined Russian forces as recruitment networks draw scrutiny
Kenya has for the first time publicly acknowledged that some of its citizens have been recruited to fight in Russia’s war against Ukraine, following investigative reports detailing how young people ... more
Belgium threatens to block Ukraine reparations loan unless EU shares risks
Belgium has warned it will block a proposed reparations loan to Ukraine backed by frozen Russian assets unless other EU countries agree to share legal and financial risks, Belgian Prime Minister Bart ... more
Russia ready to cooperate with Iran on nuclear issues, says Peskov
Russia will continue to cooperate with Iran including in the field of “peaceful nuclear energy”, Kremlin spokesman Dmitry Peskov said on October 20, Vedomosti newspaper reported. ... ... more