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* Poland set to raise up to $901 mln from Energa IPO
* Price range set at 15-20 zlotys
* Flotation seen biggest in Warsaw in over two years
* Stock market debut planned for Dec. 11
By Agnieszka Barteczko and Pawel Bernat
WARSAW, Nov 18 Poland is set to raise up to 2.8
billion zlotys ($901 million) from selling a stake in utility
Energa as part of this year's privatisation plan in what is
expected to be Warsaw's biggest stock market debut for more than
Poland, which is selling a 34.2 percent stake out of its
84.2 percent holding in Energa, the country's fourth-largest
utility, has set the maximum price for the initial public
offering (IPO) at 20 zlotys per share, it said in the prospectus
This would value the IPO at 2.8 billion zlotys, which is in
the middle of the bookrunners' valuations Reuters obtained
earlier this month.
Two market sources also told Reuters on Monday the minimum
price was set at 15 zlotys.
Energa is the leader in green energy in Poland, with about a
third of the energy it produces coming from renewable sources.
The bulk of its revenue comes from power distribution in the
north and central Poland.
It owns one coal-fired mine, three wind farms and two
hydro-plants, which provide a combined 1.3 gigawatt of installed
capacity, against Poland's 37 GW of total capacity.
The listing is part of this year's 5 billion zloty
privatisation plan. The deputy treasury minister Pawel Tamborski
said it does not plan to sell further stakes in Energa.
"In the foreseeable future we do not have such plans," he
told a news conference, although previously Poland had planned a
second stage of the privatisation with a bigger investor for
The company was targeted by Poland's biggest power producer
PGE three years ago, but the bid was blocked by the
anti-monopoly office. PGE has said it would be interested in
buying a stake in the IPO.
"This transaction is mostly directed at financial
investors," Tamborski said.
Energa's IPO follows last month's successful 1.4 billion
zloty share offer by PKP Cargo, Europe's
second-biggest rail freight company.
However, some analysts have said that Energa's IPO could be
less successful at attracting investors because of government
indecision over future subsidies for renewable energy, which
makes it difficult to predict future cash flows.
It will be the ninth power company to be listed on the
Warsaw bourse, competing with bigger state-controlled rivals,
including Tauron, Enea and PGE.
Energa expects to debut on the Warsaw bourse on Dec. 11 and
said it plans to pay up to 400 million zlotys in dividends from
its 2013 earnings and up to 500 million zlotys from 2014
earnings, which would constitute more than 90 percent of its
stand-alone annual profits.
JPMorgan and UBS are serving as joint
global coordinators and joint bookrunners for the offer.
Poland's DM PKO BP is the offering agent, while
Banco Espirito Santo, BofA Merrill Lynch,
Citigroup, and UniCredit were selected as
($1 = 3.1074 Polish zlotys)
(Editing by David Goodman and David Evans)