Time running out for Rusal listing this year even if it gets nod today
Oleg Deripaska, the embattled chief executive of Rusal, the world's largest aluminium company, will be hoping that his company's long-delayed initial public offering will be approved at an extraordinary meeting of the Hong Kong stock exchange listing committee today.
Even if the float is approved, the timing is still tight for marketing the deal and listing it before the end of the year. In recent press interviews, Deripaska said the offering might be delayed until early next year.
Rusal is seeking to list 10 per cent of its shares in Hong Kong and the Paris-based Euronext to raise about US$2 billion, most of which is to be used to pay off its massive US$16.8 billion of debt.
This is the company's third attempt at an initial offering following previous tries in London in 2007 and Hong Kong last year.
Bank of America Merrill Lynch, BNP Paribas, BOC International, Credit Suisse and VTB Capital are the deal book runners. BNP and Credit Suisse are also the sponsors. Other banks are taking part in the deal in Moscow and Paris.
Although the main creditor agreed in principle to the terms of the restructuring in July, it was only last week that all the creditors signed off on the deal.