MegaFon Postpones July IPO Due To Poor Market Conditions-Report
05/30/2012| 03:57am US/Eastern
Russian mobile phone operator MegaFon initial public offering is being pushed back from July to early autumn due to poor market conditions and the low share prices of its main competitors, Russian business daily Vedomosti reports Wednesday, citing several investment bankers and a person close to the future IPO.
While the IPO was planned for July 2012, the economic crisis in Greece and with the weakening of the euro forced MegaFon to postpone the listing, the person is quoted as saying.
TeliaSonera AB (>> TeliaSonera AB) and Russian billionaire Alisher Usmanov's AF Telekom, both shareholders of MegaFon, said in April that up to 20% of the company's shares would be floated on the London Stock Exchange. TeliaSonera will offer 10.6% of shares, while MegaFon Investments, MegaFon's fully owned subsidiary, will offer the remaining 9.4%.
Troika Dialog, Morgan Stanley and Goldman Sachs are among the IPO's organizers according to the people close to the IPO, Vedomosti also reported.
Full story: www.vedomosti.ru
-By Moscow Bureau, Dow Jones Newswires; +7 495 232 9192