Swedish listed GP Ratos has completed a NOK 2.9bn IPO of Norwegian wine and spirits producer and wholesaler Arcus on the Oslo Stock Exchange.
The flotation raises NOK 775m of gross proceeds through the sale of around 18 million newly issued shares at a price of NOK 43 apiece, with 68 million shares outstanding in total post-IPO. Arcus's listing prices the company's shares at the top of the NOK 39-45 range published ahead of the IPO and implies a market cap of NOK 2.925bn.
Arcus's share price jumped to around NOK 45 apiece in the first minutes after introduction, falling to just above the introductory price at the time of publication.
Around 70% of the company was placed in free float as part of the offering, before any overallotment is used, with Ratos retaining a 30.2% stake. An overallotment would see Ratos's holding reduced to a minimum of 20.7%, assuming full uptake of the option.
During Ratos's ownership, the GP claims Arcus saw annual sales growth of around 11%, growing from NOK 863m in 2005 to NOK 2.47bn in 2015. The adjusted EBITDA grew from around NOK 31m to NOK 274m in the same period, according to figures provided by Ratos.
ABG Sundal Collier and SEB are the joint global coordinators and joint bookrunners for the flotation, while Carnegie acts as joint bookrunner. Advokatfirmaet Wiersholm is the legal adviser to Arcus and Ratos.
Arcus's IPO comes after a decade under Ratos's ownership. The listed GP acquired what was then ArcusGruppen in 2005 through a NOK 820m buyout, and followed its initial investment with a €103m bolt-on of several spirit brands in 2012.
Founded in 1996 when it was carved out from Norway's state-owned alcohol monopoly, Arcus is a Nordic developer, producer and distributor of wines and spirits.
Headquartered in Gjelleråsen near Oslo, Arcus produces spirits including aquavit, cognac, vodka and potable bitters, in addition to distributing wines and other spirits.
The company operates across the Nordic region, generating around NOK 2.5bn of sales in 2015, according to publicly available information.
Arcus – Kenneth Hamnes (CEO).
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