July 13 (SeeNews) - Russian-owned groups Vimetco and Conef, which jointly own Romanian aluminum smelter Alro Slatina [BSE:ALR], announced a series of changes to a prospectus for secondary public offering of Alro shares, including a lower share price.
The subscription price will be set within the price range of 3.5 lei and 4 lei (0.75-0.88 euro) per share, a joint statement filed late on Thursday with the Bucharest Stock Exchange, BVB, showed. The initial offer proposed a 6.18 lei price per share.
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Also, the the offer period is extended by three working days until July 19.
Moreover, retail investors will subscribe at the upper limit of the price range, namely 4 lei per offer share and will benefit from 7% discount to the offer price for the subscriptions during the whole offering period, namely July 2-July 19.
The offer was announced at the end of June and targets institutional investors and retail investors in Romania.
Alro Slatina, established in 1961 in Romania, is part Alro Group - one of the largest vertically integrated aluminium producers in Europe by production capacity with operations throughout all major stages of aluminium production. The group consists of upstream and downstream divisions, from the mining and refining of raw materials to the production and sale of primary and processed aluminium products.
In 2017 the group posted sales of 2.7 billion lei and earnings before interest, taxes, depreciation and amortisation (EBITDA) of 566 million lei.
Vimetco currently holds 84.2% of the shares in Alro, Conef owns 3.8%, and investment fund Fondul Proprietatea holds 1.2%.
Vimetco is a Netherlands-based industrial group with Russian ownership, also present in China and Sierra Leone. Conef is an indirect subsidiary of Vimetco.
At end June, Alro's shares were promoted from the Standard Category to the Premium Category of the Spot Regulated Market of Bucharest Stock Exchange.
Alro's shares were trading 3.53% lower at 3.55 lei on the BVB at 1039 CET on Friday.
(1 euro = 4.6596 Romanian lei)