Is Russia's MMK Coming to Ohio?
Director of Equity Financing, FINAM Investment Company, Moscow
Thomson Financial, one of the most trusted business information providers in the world, released its Equity Capital Markets Review this month for the second quarter of 2007. The Russian investment bank Renaissance Capital was ranked in 10th place in this survey, up from 29th place last year. Among the major equity capital market (ECM) transactions in Russia, RenCap has led all takers this year by raising $8 billion in an IPO for Vneshtorbank (the largest IPO worldwide this year), where RenCap acted as a joint bookrunner. RenCap has also acted as an underwriter on IPOs for MMK (see the extended post), Integra, Volga Gas, Dixi, Nutritek, Rosinter, United Bank for Africa and several other secondary transactions and private placements this year. Renaissance has advised 12 ECM transactions in the first six months of 2007, with a total value of $12 billion.
Click on the extended post to see a table from the Equity Capital Markets Review by Thomson Financial.
REITs (real estate investment trusts) and real estate backed bonds have become quite popular with investors in the greater EMEA (Europe Middle East Area) region - not a surprise, considering rising property values from Moscow to Dubai
For those who still believe that Russia is not financially stable country, last week brought more news stories revealing that the 15-year trend of capital flight has been reversed. Capital is now flowing back into the country, even as Russian companies are investing more abroad than ever before.
Russian Company Coming to Ohio, U.S.A.
Magnitogorsk Iron & Steel Works (RTS:MAGN) - better known as MMK - is a Russian company with ambitious plans to enter the U.S. market. On Tuesday July 17, 2007 MMK's management announced its intent to build a plant that will produce 1 million tons of auto body sheets a year. Supposedly the steel processing plant will be built in the state of Ohio in the United States of America.. According to the Interfax News Agency, MMK's board of directors will meet on August 30, 2007 to vote on dvidends and to firm up the company's plans to expand into the North American market..
Pioneer Investments to Open Four Funds in Russia
Another story this month is that Pioneer Investments is returning to Russia after a six year absence. The Federal Financial Markets Service (Russia’s counterpart to the U.S. Securities and Exchange Commission) granted a license to the company to manage equity assets in Russia. The company plans to register four unit investment funds this year.
You can read the original post at Vladimir Kuznetsov's blog, Equity Financing in Russia. The views expressed in this post and on his blog are the personal opinions of Vladimir Kuznetsov, and are reproduced here solely for educational purposes. To read more Russia Blog posts about Russian capital markets, click on the finance section or type www.russiablog.org/finance in your web browser.
