September 23 (SeeNews) - Romanian investment fund Fondul Proprietatea [BSE: FP] said on Friday that it plans to sell part of its 19% stake in Romania's top oil and gas group OMV Petrom [BSE:SNP] via a public offering of both shares and global depositary receipts.
The decision is part of an ongoing commitment to increase value for the fund's shareholders and to improve the liquidity of the assets in the fund’s portfolio, Fondul Proprietatea said in filing with the Bucharest Stock Exchange, BVB.
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Full details of the offering will be included in the prospectus expected to be published in due course, Fondul Proprietatea added.
"The offering is expected to be completed in the fourth quarter of 2016, subject to market conditions, approval of the Prospectus by the Romanian Financial Supervision Authority and the confirmation of the UK Listing Authority regarding the eligibility of the Company for admission to the Official List of the UK Financial Conduct Authority," according to the filing.
Also, in respect of its residual ownership interest in OMV Petrom, the investment fund said that it has committed to a 360-day lock-up following closing of the offering, subject to certain exceptions.
Shares in blue-chip OMV Petrom plunged 4.63% to 0.2470 lei on the BVB following the announcement.
The investment fund closed its sixth share buy-back programme earlier this month.
In June, Fondul Proprietatea sold its entire stake in the Romanian units of German utility E.ON - Distributie and Energie. At the end of April, it sold its entire remaining 5.85% stake in natural gas producer Romgaz [BSE:SNG] for $137.2 million (120.6 million euro).
Fondul Proprietatea sold its stakes in real estate company Primcom, metal forging company Forsev, market researcher SIFI CJ Agro, Electroconstructia Elco Cluj, and Petrotel Lukoil refinery last year.
Blue-chip Fondul Proprietatea was set up in 2005 to compensate the pre-Communist era owners whose property had been nationalised.
The investment fund's shares traded 0.13% higher at 0.8010 lei by 1350 CET on Friday.
In relation to the offering, Goldman Sachs International is acting as sole global coordinator and joint bookrunner. Banca Comerciala Romana, Erste Group and WOOD & Company are acting as joint bookrunners.
($=0.8901 euro)
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