VTB Group announced on Thursday its intention to sell around 17.28% of ordinary shares in Russian food chain Magnit, completing its investment cycle and making privately-held Marathon Group the largest shareholder in the retailer.
VTB bought its stake in the retailer, whose chain shops are sprawled across Russia, from its founder Sergei Galitsky in 2018, but has said previously that it would sell up eventually.
On Thursday, VTB said that up to 4.40% will be offered through an accelerated book building process, which would be launched immediately following the announcement.
It is expected that the remaining 12.88% of the company’s shares will be sold to Marathon Group at a price determined in the offering.
Following the acquisition of the 12.88% stake, Marathon Group will become Magnit’s largest shareholder with 29% of the company.
The offering consists of the sale of up to approximately 4.5 million ordinary shares of Magnit, which has a market value of more than 27 billion roubles ($370 million), according to Reuters calculations.
Source: Reuters.com