Secondary Public Offering
Secondary Public Offering for Sale of Transelectrica shares aimed the sale of 10,995,472 shares of Transelectrica SA, owned by the Romanian state through OPSPI.
The offer, which was managed by a syndicate consisting of Romanian Commercial Bank, Intercapital Invest and Swiss Capital, took place between 14.03 - 27.03.2012, throught the electronic system of Bucharest Stock Exchange.
On the open-book offer, real-time status of subscriptions was available on bvb.ro site, here
In the offer, investors could subscribe to any price between 14.90 and 19.20 lei / share, including heads interval. Thus, investors bought shares at a price below the stock price of Transelectrica shares, and benefiting by the company dividends for the last year profit.
Transelectrica shares sale offer was successfully completed on 27 March 2012. In the SPO were subscribed shares representing 158.83% of offered shares (17,464,106 shares from 10,995,472 shares offered).
For institutional investors tranche, value of each subscriptions must be greater than or equal to 500,000 lei. Shares offered in this tranche represented 90% of the total. In the tranche 14,393,929 shares were subscribed to the 9,895,925 shares offered (subscription level of 145.45%), number of orders in the subscription tranche was 122. Offer price for institutional investors tranche was set at 14.90 lei / share.
For retail investors tranche value of each subscriptions must be less than 500.000 lei. Shares offered in this tranche accounted for 10% of the total. In the trance 3,070,177 shares were subscribed to the 1,099,547 shares offered (subscription level of 279.22%), number of orders in the subscription tranche was 1330. Offer price for retail investors tranche was set at 15.71 lei / share.
Information about Transelectrica and the secondary public offering of shares can be found in the secondary public offer prospectus, available below.
TEL offer is considered a success due tu:
- all the shares offered were sold
- on the price range set (14.90 to 19.20 lei), institutional investors overwritten by more than 45% and retail segment overwritten with more than 179%.
- average subscription price was higher than the minimum price required
- increased free-float on the Bucharest Stock Exchange
Transelectrica success shows the potential supply of capital market financing in Romania and is a prerequisite for successful future bids considered by the Romanian state.