* Share sale to raise up to 235 mln euros
* Offer runs to June 23, Vienna listing set for June 25
* Shares to be priced in range of 8 to 11 euros
(Adds comments from news conference, background)
By Angelika Gruber
VIENNA, June 4 Chinese-owned aviation parts
supplier FACC aims to raise up to 235 million euros
($320 million) in Austria's biggest stock market listing in more
than three years.
The deal is the largest initial public offering (IPO) in
Vienna since aluminium maker AMAG AG raised 420 million in 2011
and is a shot in the arm for stock exchange, which saw trading
volumes dwindle and IPOs dry up during the financial crisis.
Global IPOs almost doubled in value in the first quarter of
2014, Thomson Reuters data show, with Europe leading the way
thanks to a nascent economic recovery that lifted investors'
confidence and stock markets.
FACC, owned by Aviation Industry Corp of China,
set a price range of 8 to 11 euros for the up to a combined 21.7
million shares on offer from existing stock and a 150 million
euro capital increase. It has a greenshoe overallotment option
for 2.2 million shares.
The offer includes a private placement to institutional
investors plus an offer to Austrian investors that is set to run
until June 23. A bookbuilding process will set the final price,
with a Vienna Stock Exchange listing planned for June 25.
J.P. Morgan, Morgan Stanley and Erste Group
are running the IPO, while UBS is
co-bookrunner for the deal.
FACC generated sales of 547 million euros and EBITDA of 60
million euros in its 2013/14 fiscal year that ended in February.
It aims to boost sales to 1 billion euros by 2020.
Chief Executive Walter Stephan told Reuters last month that
the group, a leading supplier of fibre-reinforced composite
components, targeted a 10 percent operating margin within three
years and sought bolt-on acquisitions.
"We constantly keep acquisitions on the radar," he told a
news conference on Wednesday, citing prospects for purchases in
a fragmented market full of mid-sized companies.
The company plans to give shareholders dividends worth 20 to
30 percent of net profit, which it said may rise this year.
AVIC - which bought FACC in 2009 and is keen to have it stay
an independent Austrian company serving as its bridgehead to
Western customers - will keep a majority for now but could cut
its stake to 30-35 percent in the medium term, Stephan said.
Money from the deal will help FACC finance growth at a time
of booming aircraft orders, develop more capacity, drive
innovation and expand its global procurement.
FACC's products range from structural components for
aircraft fuselage and wings to engine components to complete
passenger cabins for commercial aircraft, business jets and
It supplies manufacturers including Airbus, Boeing
, Bombardier, Embraer, Sukhoi and
COMAC as well as engine manufacturers and sub-suppliers of
($1 = 0.7342 Euros)
(Additional reporting by Michael Shields; Editing by Georgina
Prodhan and Erica Billingham)