* Justice family could raise more than $524 million
* Listing price range set at $21.00-$27.60 per pref share
* Preferred ADS range set at $10.50-$13.80 per pref ADS
MOSCOW, April 27 Russian coking coal and steel
producer Mechel (MTL.N) on Tuesday launched a public offering of
preferred shares that could allow one of its shareholders to
raise more than $524 million.
The Justice family shareholders will offer up to 49.95
million preferred American Depository Shares (ADS) representing
24.98 million preferred shares at a price range of between
$10.50-$13.80 per preferred ADS.
Mechel acquired West Virginia, U.S.-based Bluestone Coal
from the Justice family last April for $436 million and 83.3
million preferred shares. [ID:nLM122811]
The Justice family cannot sell the shares until they are
listed on a stock exchange.
Morgan Stanley and Renaissance Securities are acting as
joint bookrunners for the sale, which will raise between
$524-$689 million if it is priced between the announced range.
Mechel also has 55.5 million preferred shares but the
statement did not mention any plans to sell them.
(Reporting by Alfred Kueppers; Editing by Rupert Winchester)