Etalon raises £350m in flotation - Telegraph

Etalon raises £350m in flotation - Telegraph

The company has sold 82m shares in the form of global depository receipts (GDRs) at $7 each, the lower end of its price range.

The initial public offering will net a collection of existing shareholders $75m, including the banking arm of Gazprom, management, and the Zarenkov family, the founders. Viacheslav Zarenkov, chairman, said the "positive response" to the offering was a "real endorsement" of Etalon, although it initially planned to raise $650m.

The IPO market remains fragile in London, with Etalon securing its float as mobile phone retailer Euroset pulled its plans.

Etalon builds residential property in Moscow and St Petersburg. The flotation is made up of $500m of new shares, the proceeds of which will be used to buy land for developments and fund construction, and $75m from the sale of existing shares. The deal values the company at $2.1bn, with 28pc of the company to be publicly traded.