The individual investors demonstrated caution in the first hours of the subscription period for the new shares issued by Aquila distribution group under an IPO at Bucharest Stock Exchange (BVB), reports Profit.ro quoting representatives of the brokerage houses.

Thus, only 2.7 mln new shares of the tranche for individual investors (10 mln shares) was subscribed by mid-day.

Aquila wants to issue 66.6 mln new shares at a price between RON 5.5 and RON 6.5 per share, with the price to be set in the segment for institutional investors. The 66.6 mln new shares would account for one-third of the 200 mln company’s post-IPO shares.

Profit.ro comments about the target price to earning (P/E) ratio that ranges between 18-21, based on the target price and the profit reported by the group for last year. Depending on the price, Aquila will raise between RON 367-433 mln (EUR 73-86 mln), and the market capitalization will be between RON 1.10-1.30 bln (EUR 220-260 mln).

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andrei@romania-insider.com