Russia 100419 Basic Political Developments

Bloomberg: Kuzbass Fuel Seeks to Raise as Much as $398 Million in IPO

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=azfaVUCm2JSo

By Maria Kolesnikova

April 19 (Bloomberg) -- OAO Kuzbass Fuel Co. plans to raise between $295 million and $398 million in an initial public offering of shares, selling as much as 38.6 percent of new and existing stock in Moscow.

Kuzbass Fuel set the price range at $7.70 to $10.40 apiece, the Russian producer of coal for power stations said in an e- mailed statement today. The shares will be listed on Russia’s biggest exchanges, Micex and RTS.

To contact the reporter on this story: Maria Kolesnikova in Moscow at [e-mail]

Last Updated: April 19, 2010 01:26 EDT

Reuters: UPDATE 1-Russia KTK seeks to raise $295-398 mln in share sale

http://in.reuters.com/article/oilRpt/idINLDE63I03120100419
Mon Apr 19, 2010 12:00pm IST

* Sets price range at $7.7-10.4 per share

* Company valued at $650-878 million

* Compares to previous estimate of $1.0-1.4 bln

(Updates with company statement, adds background)

By Olga Popova

MOSCOW, April 19 (Reuters) - Russia's Kuzbass Fuel Company (KBTKI.RTS) on Monday set the price guidance for its share placement, lowering earlier valuations for the company following weak demand for another Russian placement last week.

The steam coal producer, also known as KTK, set a range of $7.7-$10.4 per share for its first large-scale listing.

"The price range implies an offering size of between $295 million and $398 million and a pre-money equity value of between $650 million and $878 million," the Siberian miner said in a statement.

That is lower than the valuation of $1.0-1.4 billion which sources had told Reuters was given by the banks organising the sale -- Troika Dialog and UBS. [ID:nLDE634037]

Russian companies have rushed to the international and domestic capital markets, seeking to replenish their coffers after a recession and enabling their owners to lock in profits. [ID:nLDE63E0D0]

But there are signs some are being too ambitious -- last week seafood producer Russkoye Morye (RSEA.MM) priced its IPO at the low end of the expected range and cut the placement size, adjusting to weaker-than-expected demand. [ID:nLDE63F08G]

KTK, which already has a free float of about 11.1 percent, said this would increase to 48 percent after the placement.

"The company intends to use the proceeds from the offering primarily to procure and modernise coal mining equipment, as well as to construct new coal processing and enrichment facilities," it said in a statement.

KTK made a net profit of 663 million roubles ($22 million) in 2009 with a net income margin of 6 percent. (Writing by Toni Vorobyova; Editing by Michael Shields)

Bloomberg: Uralchem Sets Price, Seeks as Much as $642 Million in London IPO

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=auHpeUqQhXnw

By Yuriy Humber

April 19 (Bloomberg) -- United Chemical Co. UralChem seeks to raise between $496 million and $642 million in an initial public offering of shares in London, not including an over- allotment option, the Russian chemicals company said today in a statement.

Uralchem set the price at $8.50 to $11 a GDR.

To contact the reporter on this story: Yuriy Humber in Moscow at [e-mail]

Last Updated: April 19, 2010 02:04 EDT
RBC: Russian developer to make SPO

http://www.rbcnews.com/free/20100419112422.shtml

      RBC, 19.04.2010, St. Petersburg 11:24:22.The Russian real estate development, construction and building materials company LSR Group has announced plans to launch an SPO. The flotation price will range between $50-55 per share.

      The company plans to offer shares in Russia and GDRs abroad as part of the SPO. Each GDR is equal to five common shares. Meanwhile, the company indicated in a statement that the final offering price may be higher than the price range announced today. A total of 16,042,508 newly issued shares will be placed by public subscription. At the same time, LSR Group's shareholders may exercise the preemptive right for purchasing shares, with the price possibly up to 10 percent lower than the offering price for other investors. The company hopes to raise about $515m in the SPO and use this sum to purchase attractive assets and repay its $300m debt. Proceeds from the flotation will also be used to finance the developer's activities involving land purchases, construction, and buying facilities for the production of construction materials.

      LSR Group's net profit under IFRS amounted to RUB 4.59bn (approx. USD 158m) in 2009 compared to a net loss of over RUB 8bn (approx. USD 275m) a year earlier, according to its consolidated statement.

Reuters: Russia OGK-6 plans no dividend for 2009

http://in.reuters.com/article/rbssIndustryMaterialsUtilitiesNews/idINLDE63I06K20100419
Mon Apr 19, 2010 11:46am IST

MOSCOW, April 19 (Reuters) - Russian power producer OGK-6 (OGK6.MM), controlled by energy company Gazprom (GAZP.MM), said on Monday it has no plans for a dividend pay out on 2009 results.

The dividend policy will be discussed at an annual general meeting scheduled for June 10.

(Reporting by Vladimir Soldatkin)

Idexonline: Alrosa Expects April Sales at $300 Million

http://www.idexonline.com/portal_FullNews.asp?id=33936

(April 19, '10, 1:21 Edahn Golan)

Russia's diamond mining firm Alrosa expects to sell about $300 million worth of rough and cut diamonds in April, according to a company statement quoted by Interfax. The company is forecasting $2.314 billion in mine output and $3.3 billion in sales revenue in 2010.

 

In the first quarter of 2010, Alrosa mined an estimated 8.6 million carats of diamonds and sold $925 million worth of goods, Interfax reported. The company expects to sell another $900 million in the second quarter.

 

Alrosa's marketing plan calls for $3.3 billion in diamonds sells in 2010, while keeping mining operations at the same level as in 2009, when it sold $2.187 billion worth of goods.

 

The Russian state repository, Gokhran, has earmarked $1 billion to buy rough from Alrosa this year. Alrosa, however, said it intends to sell only $870 million in diamonds, and possibly none at all, if it succeeds in selling all of the goods in the market.

 

"We'll be able to sell everything on the market fairly successfully unless there's a second wave of crisis," Alrosa President Fyodor Andreyev told Interfax last week.