Ophir advisers settle on price range for flotation
BRUSHING aside the current fragility of London’s IPO market, the African explorer Ophir Energy yesterday settled on a price range that will value the group at around $925m-$1.05bn (£575m-£650m) before new money.
The group decided to offer investors shares at a price range of between 250-280p after a board meeting last night. Ophir is backed by Lakshmi Mittal, Och Ziff and Artemis. Advisers, led by JP Morgan, Credit Suisse and RBC are believed to be comfortable with the price range after meeting investors and believe there is significant interest in the shares.
Brazilian oil giant Petrobras recently signed an accord to acquire 50 per cent of the rights held by Ophir at two exploration blocks offshore Gabon. Orphir also has acreage in Tanzania.
Nick Cooper, the former chief financial officer of Salamander Energy, an Asian-focussed exploration and production company, recently joined the group as managing director.
The marketing process starts today.