Arion banki hf. set the price range for its IPO between 68 Icelandic krónur and 79 krónur per share.
A final price will be announced June 15, when the shares begin trading on Nasdaq Iceland and Swedish depository receipts on Nasdaq Stockholm. Unconditional trading is expected to commence June 19, subject to regulatory and market conditions in both cases.
The bank will offer 452.5 million ordinary shares and SDRs on May 31, but has the capacity to issue 724 million shares as part of the base offer. The subscription period will run through June 13 for Icelandic and Swedish retail investors and through June 14 for institutional investors.
In case of oversubscription, the bank can offer 67,875,000 to 108,600,000 additional shares and SDRs, resulting in a minimum offer volume of between 35.4 billion krónur and 41.1 billion krónur upon full exercise of the overallotment option. Arion banki noted that the transaction will result in a free float of more than 25%.
Lansdowne and Miton have committed to subscribe for US$38 million and US$22.5 million of shares, respectively, corresponding to roughly 20% of the minimum base offer size.
As of May 30, US$1 was equivalent to 105.80 Icelandic krónur.
