IFR Magazine – January 20, 2018

INDIA NEWGEN SOFTWARE’s Rs4.3bn IPO was
subscribed 8.25 times on its last day of
bookbuilding last Thursday. Demand from
institutional investors was strong, with that
tranche being 15.62 times covered.
Primary shares for Rs950m and 13.5m
secondary shares are being sold in the
Rs240–Rs245 range.
ICICI Securities, IDFC Bank and Jefferies are
the bookrunners.

SANGHI INDUSTRIES LAUNCHES QIP

Indian cement producer SANGHI INDUSTRIES
HASûLAUNCHEDûAûQUALIlEDûINSTITUTIONALû
placement of Rs4bn (US$63m). The
COMPANYûHASûSETûAûmOORûPRICEûOFû2S
SBI Capital, Motilal and HDFC are the joint
bookrunners.

PHILIPPINES

BPI AND METROBANK PLAN RIGHTS

BANK OF THE PHILIPPINE ISLANDS and METROPOLITAN
BANK AND TRUST COMPANY are planning rights
issues to raise a combined Ps110bn
(US$2.17bn) for business growth.
Bank of the Philippine Islands announced
last Wednesday it had approved a rights
issue of up to Ps50bn to support its growth
and strategic initiatives in the coming years.
Terms of the rights issue, which will
comprise up to 567m shares, have yet to be
set. Ayala, BPI’s major shareholder, has
indicated its support for the issue.
Meanwhile, Metropolitan Bank and Trust,
the country’s second largest lender in asset
terms, has also secured board approval for a
rights issue involving up to 820m shares.
Metrobank plans to raise up to Ps60bn,
according to people close to the deal.
Part of the proceeds will be used for the
acquisition of the remaining 20% equity
stake in Metrobank Card.
The lender has mandated First Metro
Investment and UBS as joint global
coordinators and joint bookrunners.

SINGAPORE

SASSEUR REIT DELAYS IPO

SASSEUR REIT has delayed the launch of its
S$500m–$600m (US$378m–$454m)
Singapore Exchange IPO from January to
after the Lunar New Year on February 16,
according to two persons with knowledge of
the move.
They did not give the reason for the delay.
The company would need to update its
lNANCIALSûFORûAûLAUNCHûDATEûAFTERû*ANUARYû
said one of the two.

The REIT will comprise China-based

outlet malls with the yield expected to be

around 7%.

Sasseur REIT, part of Shanghai-based mall

operator Sasseur, has the backing of

investment funds L Catterton Asia and Ping

An Real Estate. It runs six malls across

China, registering annual turnover of over

Rmb6bn (US$910m).

4HEûISSUEûWILLûBEûTHEûlRSTûPUREûRETAILû

outlet mall REIT IPO in Asia.

BOC International, Citigroup and DBS are

bookrunners.

SOUTH KOREA

KAKAO GDR RAISES US$1bn

Messaging app operator KAKAO has raised US$1bn

from the sale of global depositary receipts at the

bottom of the indicative price range.

The 8.2m-8.3m primary GDRs were

marketed at a price range of US$121.04–

$121.97 each, a discount of 3.0%–3.7% to the

pre-deal spot.

The company eventually sold 8.26m GDRs

at US$121.04, a 3.7% discount.

The trade was covered before launch and

multiple times oversubscribed with about

50 investors participating. A majority of the

demand came from hedge funds, while

there was also participation from global

long-only investors.

The GDRs will be listed on Singapore

Exchange.

Citigroup and Goldman Sachs were the joint

bookrunners.

Proceeds will be used to acquire mobile-

focused global content and platform

companies and to invest in technology,

INCLUDINGûARTIlCIALûINTELLIGENCE

Kakao operates South Korea’s dominant

messaging app KakaoTalk. It aims to expand

ITSûMOBILEûCONTENTûANDûINVESTûINûARTIlCIALû

intelligence.

EUROPE/MIDDLE

EAST/AFRICA

DENMARK

HARTWALL CAPITAL CALLS TIME

ON ROYAL UNIBREW

Finnish family-owned investor Hartwall

Capital exited its investment in brewer

ROYAL UNIBREW on Monday night through a

DKr969.5m (US$159m) selldown.

A small group of investors were wall-

crossed in advance of the trade, which

comprised 2.77m shares, representing 5.27%

of existing share capital and approximately

35 days’ trading.

Pricing came at DKr350, a 4.58% discount

to Monday’s DKr366.80 close.

The sale drew strong participation from

existing shareholders and those wall-

crossed, with a balance of domestic and

international accounts.

The shares opened on Tuesday at DKr356

and traded up, closing at DKr356.80.

Danske Bank and SEB were joint

bookrunners.

FRANCE

VIVENDI LOCKS IN FNAC PROFIT

Societe Generale sold 11.1% of consumer

electronics and household appliances

retailer FNAC DARTY in an accelerated

bookbuild on Tuesday evening to hedge a

DERIVATIVESûTRADEûTHATûLOCKSûINûAûSIGNIlCANTû

PROlTûFORû6IVENDI

Vivendi acquired a 15% stake in April

2016 through a €159m reserved capital

increase that valued Fnac at €54 per share.

A share issue related to Fnac’s takeover of

Darty three months later diluted the

holding in percentage terms to 11.1%.

Fnac’s share price was up more than 50%

LASTûYEARûASûRESULTSûCONlRMEDûTHATû

synergies promised by the company were

being delivered ahead of expectations.

The French bank’s ECM team came to

the market immediately after the close

with 2.944m shares and guidance set at

€91-€95 off a €100.50 closing price.

There was a covered message within 35

minutes, and at 6:45pm, investors were

told that pricing would probably be at the

bottom of the range.

0RICINGûWASûCONlRMEDûATûõûWHENûTHEû

book was closed at 7pm, and represents a

9.45% discount to the closing price. The

proceeds are €267.96m.

The top 10 allocations accounted for 57%

of the shares sold.

Vivendi said that it retains the option to

choose a settlement in cash or shares when

the derivative matures, which should be

during the second half of 2019 at the latest.

CGG SETS TERMS FOR RIGHTS ISSUE

Oil services company CGG GROUP has set terms

FORûAûõMûRIGHTSûISSUEûTHATûWASûmAGGEDû

last June as it negotiated a restructuring deal

with lenders and bondholders to eliminate

around US$1.75bn in debt from the

company’s books.

The company will issue 71.93m new

shares, each with one warrant attached, at

€1.56 per share on a 4-for-13 basis.

EQUITIES EMEA