BAWAG PSK's institutional shareholders will sell up to 40.25 million ordinary shares in an IPO of the Austrian lender in a range between €47 per share and €52 per share.
The offer period, beginning Oct. 12, is expected to end Oct. 23 for retail investors and Oct. 24 for institutional investors. The shares are expected to commence trading Oct. 25.
The offer comprises up to 35 million shares indirectly controlled by funds and accounts under management of GoldenTree Asset Management LP and Cerberus Capital Management LP, as well as Promontoria Sacher Holding BV and certain minority shareholders, and up to 5,250,000 overallotment shares.
The offering comprises an IPO for retail and institutional investors in Austria, a private placement outside Austria to selected institutional investors — including a private placement to qualified institutional buyers within the U.S. — and to certain other eligible institutional investors outside the U.S. BAWAG will not receive any proceeds from the offering.
Citigroup Global Markets Ltd., Credit Suisse Securities (Europe) Ltd., Goldman Sachs International, J.P. Morgan Securities Plc and Morgan Stanley & Co. International Plc are serving as joint global coordinators and joint book runners on the offer. Merrill Lynch International, Barclays Bank Plc and UBS Ltd. will act as joint book runners, while Commerzbank AG and Raiffeisen Centrobank AG were named co-lead managers. Rothschild & Co. is acting as IPO adviser.
On completion of the offering, assuming full exercise of the overallotment option, Cerberus funds and accounts will see their stake in BAWAG reduce to 32.1% from 53.0% immediately prior to the offering, while GoldenTree funds and accounts will see their stake decline to 23.5% from 38.8%.
BAWAG's share capital is divided into 100 million shares. If the 40.25 million shares are sold at the top end of the price range, it would value the stake at €2.09 billion and the entirety of the lender at €5.2 billion.