Polymetal completes successful raising

Finance

Publishing Date: 28 Oct 2011 3:44pm GMT
Author: Mining Journal

Polymetal International plc has raised nearly half a billion pounds as part of its move to the London Stock Exchange.

In total the company, with gold and silver operations in Russia, sold 53.35 million shares at £9.20/share, raising £490.8 million (US$785 million). These new shares would represent about 14% of the total in issue following admission.

The company will begin unconditional dealings on November 2 and using the selling price will have a market capitalisation of over £3.55 billion.

Chief executive, Vitaly Nesis, said: “Polymetal’s team will now concentrate fully on project execution and achieving our growth targets.”

In early October, the company officially announced its intentions to re-domicile in the United Kingdom. At the time the raising targeted US$500 million, to buy the minority of shares that were not converted under the tender offer, with any remaining proceeds used to pay debt.

The company said the move would help improved liquidity, could lead to inclusion of the company in the FTSE100 index, widen its investor base, give it a strong acquisition currency and a strengthened balance sheet.

The expected free-float at admission will be 50.7%.