On September 19, VTB Bank (PJSC) completed its IPO on the Moscow Exchange. The company plans to raise up to 84.7 billion rubles. On the first day of the preliminary IPO, investor demand exceeded the offer by several times, demonstrating strong interest in the company's shares. The IPO became the largest transaction on the Russian equity capital market since the bank's IPO in 2023, for which LECAP also served as legal advisor.
The Bank will use the funds raised for general corporate purposes. The IPO will increase the capital adequacy ratios of the Bank and the Group. The IPO will also enhance the liquidity of the Bank's shares and create conditions for increasing their weight in stock indices.
"The successful completion of the IPO is an important confirmation of investor confidence in VTB, our sustainable growth strategy, and the role of the Bank and the Group in the economy. The funds raised will allow us to confidently implement key strategic initiatives and strengthen VTB's leading position. "We view this placement as a step toward developing a long-term partnership with investors, both retail and institutional," emphasized Dmitry Pianov, First Deputy President and Chairman of the Management Board of VTB.
"The transaction is very balanced in terms of allocation. Retail investors accounted for approximately 41% of the Bank's stock placement, which is higher than last year's transactions prior to the pause associated with rising interest rates. This fact, along with the record size of the transaction itself, gives hope for a revival of the primary equity market. The Bank is sending an important signal to the industry that investors are returning to Russian equities," commented Mikhail Malinovsky.
LECAP provided comprehensive support for the transaction, including preparing the issuance documentation, drafting the necessary corporate approvals, and coordinating compliance with disclosure requirements for the transaction.
The Bank will use the funds raised for general corporate purposes. The IPO will increase the capital adequacy ratios of the Bank and the Group. The IPO will also enhance the liquidity of the Bank's shares and create conditions for increasing their weight in stock indices.
"The successful completion of the IPO is an important confirmation of investor confidence in VTB, our sustainable growth strategy, and the role of the Bank and the Group in the economy. The funds raised will allow us to confidently implement key strategic initiatives and strengthen VTB's leading position. "We view this placement as a step toward developing a long-term partnership with investors, both retail and institutional," emphasized Dmitry Pianov, First Deputy President and Chairman of the Management Board of VTB.
"The transaction is very balanced in terms of allocation. Retail investors accounted for approximately 41% of the Bank's stock placement, which is higher than last year's transactions prior to the pause associated with rising interest rates. This fact, along with the record size of the transaction itself, gives hope for a revival of the primary equity market. The Bank is sending an important signal to the industry that investors are returning to Russian equities," commented Mikhail Malinovsky.
LECAP provided comprehensive support for the transaction, including preparing the issuance documentation, drafting the necessary corporate approvals, and coordinating compliance with disclosure requirements for the transaction.