Sat, Jan 21, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Pre-IPO investors lining up for Rusal offering, include J. Paulson, Rothschild, maybe BlackRock

Tuesday, December 29, 2009
Opalesque Industry Updates - The Russian aluminum giant UC Rusal is planning an IPO of $2bn in Hong Kong in January, according to various press reports - as it is trying to raise cash to restructure its debts. This IPO has attracted a list of well-know investors.

The main four investors, according to the WSJ, are Malaysian-Chinese tycoon Robert Kuok, a member of the Kuok Group whose principle business is Hong Kong-listed Kerry Properties Ltd.; blue-blood hedge fund manager Nathaniel Rothschild through NR Investments; Paulson & Co., the hedge fund run by John Paulson; and Russian state development bank Vneshekonombank, or VEB.

These “cornerstone” investors, who will buy shares before the listing, will be guaranteed shares in the IPO in exchange for a pledge not to sell them for several months, said BusinessWeek.

BlackRock may also be among the cornerstone investors, Reuters reported.

BRIC countries (Brazil, Russia, India and China) are showing signs of recovery in the new issue market. This summer, Russian steel producer Evraz Group raised $900m via a combined equity sale and convertible bond in the largest Russian ECM deal in more than a year, according to data provider Dealogic, Financial News reported.

Two of the world’s biggest IPOs this year were from BRICS countries (China State Construction Engineering Corp and the Brazilian affiliate of Visa Inc known as VisaNet). Barton Biggs, who runs New York-based hedge fund Traxis Partners, told Bloomberg “No question, it shows the growing power of the BRICs. Clearly the BRICs are the big growth areas of the world and will need a lot of foreign capital.”

Russell Julius, global head of equity capital markets at HSBC, said investors look at emerging markets as a leveraged play on GDP growth so the first companies that tend to list are banks, telecoms firms and property-related businesses.


Be

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Investing - This hedge fund made 37% betting on banks in 2016 and remains bullish after the Trump rally, Hedge fund legend David Einhorn is making a big bet on GM, After impressive 85% return in 2016, hedge fund looks to Canadian gold producer, small banks[more]

    This hedge fund made 37% betting on banks in 2016 and remains bullish after the Trump rally From Forbes.com: Can bank stocks continue to rise after a 28% surge in the KBW Bank Index in 2016, fueled by a post-election rally as stock pickers returned to the beaten down sector? Forget the s

  2. SWFs - China sovereign wealth fund CIC plans more U.S. investments[more]

    From Reuters.com: China Investment Corporation (CIC), the country's sovereign wealth fund, is looking to raise alternative investments in the United States due to low returns in public markets, its chairman said on Monday. CIC will boost its investments in private equity and hedge funds as wel

  3. Some hedge funds strong start in 2017 nice contrast to 2016[more]

    With the 2016 HSBC Hedge Weekly performance rankings in the books - a year in which the same leader-board entries pretty much dominated unchallenged throughout the year - comes a new leader board that is a hard-scrabble mix of hedge fund styles and categories. What is clear after but a few short wee

  4. Macro hedge funds and CTAs outperform in December on strong dollar[more]

    Komfie Manalo, Opalesque Asia: The last month of 2016 saw risk assets climbing higher, as part of expectations that the new U.S. administration will remove barriers to growth and investment, Lyxor Asset Management said. December also saw the Fed hik

  5. Opalesque Exclusive: Roxbury credit events UCITS gathers more assets[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: The Roxbury Credit Events Fund, launched in September 2015, was up 4.24% in 2016, having returned seven positive months during the year. The managers raised