Alliance Oil Essay

494 Words2 Pages
STRICTLY PRIVATE AND CONFIDENTIAL Case study: US$390mln. Convertible Bond and Equity issues of Alliance Oil Co Issuer’s description Equity offering summary Pricing Date: Offering size, # of shares: 12 June, 2009 10 mln. common shares in the form of Swedish depositary receipts (SDRs), 5.83% of share capital post-offering (greenshoe not included) US$125 mln. Up to US$15 mln. SEK95/US$12.5 per SDR (no discount to market price) SEK16,295 mln./US$2,130 mln. The first Russian equity issue since summer 2008 The first Russian convertible bond offering since end of 2007 Strong demand from various types of investors – both books multiple times oversubscribed Both issues upsized: convertible bonds - US$40m, equity - US$25 mln. The SDRs placed without discount to market price P/E and EV/EBITDA premium to Russian oil companies Convertible bond provided Alliance Oil with best pricing and large size financing while most other public markets were closed or unattractive ■ Alliance Oil Company Ltd (formerly West Siberian Resources) is a leading independent oil company with vertically integrated operations in Russia and Kazakhstan Alliance Oil has proved and probable oil reserves of 487 million barrels, oil production 45 thousand barrels per day, refining capacity of 70 thousand barrels per day and a network of gas stations and wholesale oil products terminals Alliance Oil is listed on NASDAQ OMX Nordic (Stockholm) ■ Offering size, US$: Greenshoe: Offering price: Post-offering Market Capitalization: Primary/secondary: Listing: ■ Deal success factors ■ ■ ■ Steady growth in major stock market indices in the last 3 months Oil price recovery in 1H 2009 Strong investment case: Alliance Oil remains the only vertically integrated independent oil producer in Russia Alliance Oil offers operational flexibility through its vertically integrated structure, long-term

More about Alliance Oil Essay

Open Document