Sponsored by Digital Look Events

Russia's Magnit attracted to London

News for Spread Betters

PreviousPrevious
NextNext

There's a new Investor Edition of CMC Markets' spread betting platform... and it's exclusive to DigitalLook.com users...

Get full details about Marketmaker:Investor Edition here. Advertisement

Date: Wednesday 26 Mar 2008

LONDON (ShareCast) - One of Russia’s largest food retailers, Magnit, has announced plans for a secondary listing in London to fund expansion.

The offer of 11.3m global depository receipts (GDRs) over here by Deutsche Bank and Morgan Stanley could raise about $552m at today’s prices.

It already raised $368m in a domestic initial public offering in April 2006 that saw the firm offload 19% of the company at $27 a share.

Shares of Magnit, which was founded in 1994, have rallied 80% since the IPO. The group was initially set up as a wholesale distributor of perfumery, cosmetics and household chemical goods and moved into the grocery retail market in 1997.

The company opened its first three superstores last year and expects to open 18 more this year, then eight each year after that.