WAN-IFRA

Shaping the Future of the Newspaper

Date

Fri - 31.10.2014


Russian Facebook investor Mail.ru a success on London Stock Exchange

Russian Facebook investor Mail.ru a success on London Stock Exchange

Russian Facebook investor Mail.ru Group saw a 30 percent climb on the London Stock Exchange last Friday, gathering US$912 milllion, Bloomberg reported. The Initial Public Offering valued Mail.ru at $5.71 billion, which was the largest in the UK since July.

The Internet firm and its current stakeholders sold 32.9 million global depositary receipts for $27.70 each, Bloomberg revealed. However, on Friday the figures experienced a boost as they reached $37 per share, AFP informed.

Mail.ru operates Russian-language e-mail, gaming sites as well social networks, such as Odnoklassniki and VKontakte. The Wall Street Journal outlined that the company appealed to investors because they saw a chance to bet on the possible development within the country's economy as well as Mail.ru's significant market shares in strategic areas.

"This is the first issue in 2010 that has been able to place at the top of the indicated price range," said Chris Weafer, chief strategist at financial group Uralsib. "While most other IPOs have struggled in tough market conditions, Mail.Ru has certainly hit a sweet spot."

BBC News hinted that one of the chances that investors could have an indirect hold over Facebook was through Mail.ru. The Moscow-based giant owns a 2.38 percent stake in the globally popular network, according to The Independent.

Last week, the shares were only underwent conditional trading, AFP mentioned. Official trading will begin on November 11.

Author

Alisa Zykova

Date

2010-11-08 21:45

Shaping the Future of the News Publishing


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