Wed, May 4, 2016
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. Hedge funds see $14.3bn outflows in Q1, CTAs and multi-strategy lead net inflows[more]

    Komfie Manalo, Opalesque Asia: The hedge fund industry saw net outflows of investor capital in the first quarter of the year, totaling $14.3bn, data from Preqin showed. This continues from the $8.9bn overall net outflows that funds recorded in Q4

  2. Third Point calls Q1 "catastrophic" for hedge funds[more]

    Bailey McCann, Opalesque New York: The first quarter of this year was rocky for hedge funds based on aggregate performance from the industry, but now we are beginning to hear what the managers thought of it as quarterly letters make their way to investors. Dan Loeb, CEO of New York-based $17 bill

  3. Asia - Stabilization of China's capital outflows may hinge on Janet Yellen, Fink says China to do well this year as bubble threat postponed, Chinese hedge fund to invest in India’s infrastructure[more]

    Stabilization of China's capital outflows may hinge on Janet Yellen From Bloomberg.com: Whether China’s recent stabilization of its currency and capital outflows continues -- or downside pressure reignites -- may hinge in large part on Janet Yellen. If the Federal Reserve chair sticks to

  4. …And Finally - After all, judges are human too[more]

    From Newsoftheweird.com: In March, one District of Columbia government administrative law judge was charged with misdemeanor assault on another. Judge Sharon Goodie said she wanted to give Judge Joan Davenport some files, but Davenport, in her office, would not answer the door. Goodie said once the

  5. Comment - Unmasking the men behind Zero Hedge, Wall Street's renegade blog[more]

    From Bloomberg.com: Colin Lokey, also known as "Tyler Durden," is breaking the first rule of Fight Club: You do not talk about Fight Club. He’s also breaking the second rule of Fight Club. (See the first rule.) After more than a year writing for the financial website Zero Hedge under the n