IAN entrepreneur Oleg Tinkov’s consumer credit firm TCS priced its London listing at the top of a target range yesterday, with shares gaining five per cent on debut as investors bet on its ability to capitalise on households’ growing appetite for debt.
TCS Holding Group, owner of Tinkoff Credit Systems, has challenged state-controlled banks and grabbed market share in the high-margin business of consumer credit. Its float marks the first London IPO of a Russian company for nearly a year. TCS raised over $1bn (£616m) in the offering, which values the firm at $3.2bn.
Through the offering, TCS is selling new shares, raising $175m to boost its capital position, allowing it to grow its retail lending business further and develop other lines of business such as insurance.
Existing investors are also reducing their stakes, raising proceeds of $912m. Tinkov, who had a 61 per cent stake, is selling down some of his shares, although he remains majority shareholder.