Norwegian telecommunications directory company Findexa Tuesday said it will list its shares in Oslo priced between 30 kroner ($1= NOK6.8862) and NOK40 a share, valuing its equity between NOK5.6 billion and NOK6.6 billion.
Findexa is listing its stock on the Oslo Stock Exchange. The pricing of the shares will take place May 18, with the shares due to start trading May 19, it said.
The global offer size is expected to be around NOK3.1 billion, at the mid- point of the price range, the company said. This will consist of a primary offer of NOK2.45 billion and a secondary offer of around NOK650 million.
CIBC World Markets, Goldman Sachs and UBS Investment Bank will be global coordinators of the bookrunning.
Findexa will be structured like a U.S. Income Deposit Security, or IDS, and Canadian income trusts. Investors will subscribe to shares in a holding company, to be based in the tax haven of Jersey, which will loan the capital raised to the operating unit in the form of subordinated loan notes with interest rates of between 12% and 13%.
At the midpoint of the price range, the free float will be around 51% of the company's enlarged ordinary share capital, Findexa said.
The company will pay quarterly dividends with an annual yield three to four times the Norwegian average. Findexa's dividend yield will be between 8.8% and 10.4%, it said.
This means shareholders will effectively get the benefits of the regular cashflow of a bond, with a particularly high yield, although the investment wouldn't be guaranteed.
It also means the company will use the cash it generates for dividends, not acquisitions.
Findexa said it expects to pay an annual dividend of NOK580 million for 2004.
The structure of the listing will also make it easier for Findexa's private- equity owner Texas Pacific Group to exit its investment.
For the year to Dec. 31, 2003, Findexa recorded revenue of NOK1.6 billion, earnings before interest, taxation, depreciation and amortization, or EBITDA, of NOK780 million and pro forma distributable cash of NOK558 million.