Russian Rail Carrier NTS Postpones Share Sale Marketing MeetingsIlya Khrennikov and Ksenia Galouchko
NTS Holding Plc, a Russian freight carrier, said it has postponed investor meetings to market a planned initial public offering in London.
“I’m not going to investor meetings in London next week as planned,” Konstantin Vyazovskiy, head of investor relations at the Moscow-based company, said by phone today, without providing further details.
NefteTransService, as the company is known, said in a Jan. 15 filing it is seeking to sell global depositary receipts equivalent to 25 percent of the company’s shares in the first half of the year. The company aims to raise $500 million, a person with knowledge of the plans, who asked not to be identified before the deal is completed, said at the time.
“Right now is a complicated time for the market,” Andrey Vashevnik, chief investment officer at Moscow-based R&B Investment Fund Ltd., said by phone. “The market is very volatile and companies have to be extra careful about the price they set for an IPO. It’s better to sit it out.”
NTS operates about 60,000 railcars since acquiring a rail unit of billionaire Roman Abramovich’s steelmaker Evraz Plc two months ago. The company is majority owned by Vyacheslav Aminov, who once worked as an aide to Boris Yeltsin and Vladimir Putin’s chief of staff, and his brother Vadim, according to the Vedomosti newspaper.
NTS hired JPMorgan Chase & Co., Morgan Stanley and Renaissance Capital to manage the sale.