Lenta shares in push above the flotation price

 
David Hellier
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SHARES in the Russian hypermarket chain Lenta have risen above their issue price in London for the first time since they were issued at the end of February after the group’s stock market debut was clouded by political turmoil in Ukraine.

Lenta’s share price rose above the $10 per GDR issue price to close at $10.16 on Friday as investors warmed to the stock.

Lenta is among a number of retailers tapping into demand from foreign investors for consumer-oriented businesses in Russia, even as the country's economy slows.

The total size of the offering was $952m. The company set a price of $10 per global depositary receipt (GDR), at the lower end of a range of $9.5-$11.5. One share is equivalent to five GDRs.

The GDRs started conditional trading in London at $9.70, before falling further. Advisers were relieved by last week’s rise.