October 1, 2013 / 11:49 AM / 4 years ago

Turkey's Palmet hopes to raise $100 mln by floating 20 pct stake

* Turkey’s Palmet could raise at least $100 mln in IPO

* Plans for expansion in future

ISTANBUL, Oct 1 (Reuters) - Turkish energy company Palmet plans to float a stake of about 20 percent in an initial public offering (IPO) next year to raise money to expand its business, Chairman Doganay Samuray said.

Istanbul-based Palmet, which distributes natural gas and produces electricity, hopes to earn $100 million or more from the IPO, Samuray told Reuters in an interview late on Monday. Garanti Yatirim, a subsidiary of Garanti Bank, and BGC Partners will advise Palmet.

“We will begin work on the public offering at the start of 2014. We will carry it out if Turkish and global market conditions are appropriate,” Samuray said.

Palmet plans to spend the money on building a 283-megawatt hydroelectric dam project and expanding capacity at an existing gas-powered plant, Samuray said.

Palmet targets an installed capacity of 683 megawatts by 2018 from a current 130 megawatts. Palmet expects earnings before before interest, taxes, depreciation and amortisation (EBITDA) of $40 million by year-end, Samuray also said.

Capital outflows from emerging markets in recent months, sparked by fears the United States was tapering stimulus measures, prompted some Turkish companies to cancel or delay IPOs. Seven IPOS so far this year raised $676.6 million, compared with $2.8 billion in 2012.

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below