By Tatiana Grigorieva
Minsk Plant of Sparkling Wines has issued an additional 240,000 shares via IPO, seeking out retail investors. Each share (as of January 1st, 2012) was priced at Br171,450; meanwhile, Br41bn 148m of shares are to be offered.
According to the company’s Director General, Leonid Kravchuk, the volume of shares for sale is less than the block equity holding (comprising 24,999 shares) and they are to be sold only to residents of Belarus (individuals and companies, with no more than a thousand shares bought by any single entity). The sale began on May 2nd, ending on June 15th, 2012. Generated funds will be used for further modernisation, raising capacity and improving quality.
The first stage of modernisation at the Minsk Plant of Sparkling Wines was launched in 2007, funded by bank loans and the company’s own resources. This funded a new biochemical department, boasting the latest equipment, a new automated bottling line, a transforming substation, and a warehouse able to store 990,000 bottles long-term. Upgrades were also made to the champagne cellar, increasing capacity from 990,000 dekalitres to 1.356m dekalitres per year.
Minsk Plant of Sparkling Wines was founded in 1978 and became an open joint stock company in 2004. Its shares (720,410 in total) are owned by the state. It is the main producer of champagne and sparkling wines in Belarus.
