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
China’s LNG imports slump for eighth month
China’s LNG imports have fallen on a year-on-year basis for the eighth consecutive month, Bloomberg reported on June 26 citing data from Kpler. Imports of the super-chilled fuel in the world’s ... more
Russian bomber crashes in Mali amid escalating conflict
A Russian-built Su-24M bomber operated by the Africa Corps crashed into the Niger River near Gao, Mali, shortly after an armed confrontation with separatist forces, representing a significant setback ... more
Russia to deepen ties with Africa in defence and investment, says Putin's spokesman
Russia intends to expand its cooperation with African countries significantly, placing particular emphasis on economic investment and security collaboration, Presidential Press Secretary Dmitry ... more