CFO says GV Gold postpones IPO for 1Ц2 years
VLADIVOSTOK, Sep 13 (PRIME) -- Russian gold producer GV Gold has postponed an initial public offering (IPO) for one or two years as it is waiting for favorable market conditions, CFO Sergei Gostev told PRIME on the sidelines of the Eastern Economic Forum on Thursday.
Earlier, the company planned an IPO for 2018 and also said it was waiting for good market conditions.
Gostev said, УThe company is still considering holding an IPO in the medium term among other ways to raise funds under favorable market conditionsЕ The market conditions seen now and in the nearest future do not meet the requirements necessary to carry out an IPO,Ф he said.
УAt the same time, in the medium term of around a year or two an IPO is possible, everything will depend on the global market situation.Ф
The company expects consolidated revenue to exceed U.S. $350 million in 2018, Gostev also said, adding that the debt burden remains low.
УWe expect the net debt to earnings before interest, taxes, depreciation, and amortization (EBITDA) ratio of below 1.3x in the entire 2018,Ф he said.
The company still plans to produce 280,000Ц300,000 ounces of gold in 2018, he said. The investment program is expected at 5.5 billion rubles including 1 billion rubles for geologic survey. Capital investment are to fall in 2019, the exact figures will be released in October.
(69.5728 rubles Ц U.S. $1)