RUSSIA: X5 raises extra US$59m in GDR offering

By: just-food.com | 7 May 2008

X5 Retail, Russia's largest retailer by sales, said today (7 May) that it has raised an additional US$59m from the rump offering of global depository receipts.

The company offered 1.68m receipts at $35 per GDR.

In a statement to the stock exchange, X5 said it made gross proceeds of $35.9m from the rump offering. It added that $22.96m will be paid to certain GDR holders pro-rata on the basis of the unsubscribed GDRs.

X5 also generated an additional $131.9m by selling 3.8m GDRs at $35 each that were held as treasury stock in conjunction with the rump offering.

The company had earlier launched an offering of rights to acquire global depository receipts (GDRs) to raise $1bn.

The cash will be used to finance its previously announced acquisition of the Karusel hypermarket chain.

Sectors: Emerging markets, Retail