November eyed for Severstal IPO

23 Aug, 2006 06:29 / Updated 18 years ago

Russian steel giant Severstal is expected to go public on the London Stock Exchange in November. Underwriters contacted by news agency Interfax said the share price may be about $15.

Severstal began planning its Initial Public Offering (IPO) after its failed merger with Arcelor and is seeking to raise up to $1.5 billion. It could become Russia's third-largest IPO after Rosneft's listing in July. At $15 dollars, company capitalisation would reach $14 billion.  Some analysts rated this too high, looking to Severstal selling closer to the current price. Russian exchanges on Tuesday traded shares closing up at $13.13.