Alrosa Sets Price Range for Share Offer

Alrosa says the price range for its offering of shares to be traded in Moscow is $1.08-$1.18 per share. The final offer price is due on October 28.
The offering will involve the sale of 7 percent of shares owned by the Russian Federation and the same amout by the Republic of Sakha (Yakutia), where most of Alrosa’s mines are located.
Both the Russian government and OJSC RIC Plus, wholly-owned by the Republic of Sakha, will offer up to 515,547,593 shares - around 14 percent of Alrosa's shares.
And Wargan Holdings Limited, a Cyprus-based firm owned by Alrosa, will offer up to 150,237,555 shares - about 2 percent of Alrosa's shares. The net proceeds of the offering to be received by Alrosa from the shares sold by Wargan Holdings Limited will be used to repay existing debt.
Ilya Yuzhanov, Chairman of the Supervisory Board, commented: “The company looks forward to meeting Russian and international institutional investors and updating them on its business and development strategy. As the world's largest producer of rough diamonds, Alrosa is well placed to benefit from the growing demand for diamonds on the international market."
"Our plans to consistently increase cash flow and execute our strategy at each stage of the company’s development create a strong platform for rewarding our shareholders and drive higher return on investment,” Alrosa said.