Phosagro is latest group to get float off the ground

David Hellier
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THE Russian fertiliser group Phosagro has narrowed the range for its planned London initial public offering (IPO) and is on track to float today with a market capitalisation of around $5bn (£3.14bn).

The company, whose shares are scheduled to begin trading on the London stock exchange today, narrowed the price range for shares to $13.75-$15.75 from an earlier $13.00-$16.50.

The Russian oligarch Andrei Guriev, who owns more than 80 per cent of the shares in the company, will sell a stake in the group of between 10 to 15 per cent.

Phosagro’s $5bn valuation will be lower than the $7-9bn envisaged at the start of the flotation process, but getting the float away will be seen as a major success given the recent turmoil in London’s IPO market.