VIS ready for IPO in fall 2025 but watching market situation

YAKUTSK. Oct 17 (Interfax) - VIS Group is still planning an initial public offering in 2025 and has done all the preparations for this, the Russian infrastructure construction company's chairman, Sergei Romashov told Interfax.

"We're already a public company, issuing bonds for four years already. Ratings from the leading agencies every six months, the last two [times] the rating was upgraded. We are indeed looking at next year as the year for carrying out an IPO, all our organizers are really calling us. But, unfortunately, the situation on the market is mixed. With such interest rates it's simpler for investors to put money in a deposit and live risk-free. But if the rate falls, and we hope it will in the spring, then we plan to enter [the market] in the fall window," Romashov said.

He said all preparations to list the company have been completed and "readiness is high."

In 2021, meaning in a completely different market environment, VIS Group deputy CEO Lyudmila Parshakova said the group would like to go public with a valuation "that satisfies shareholders and managers." She said the tentative horizon for the IPO was 2025.

The group currently has five outstanding issues of exchange-traded bonds totalling 10.5 billion rubles.

VIS Group, which has been in operation since 2000, primarily works under public-private partnerships. The group has built about one hundred major pieces of energy, industrial, transport, social and oil and gas infrastructure in 23 cities in Russia and Europe. The group is carrying out infrastructure projects in Moscow and Novosibirsk regions, Khabarovsk Territory, Yakutia, Yugra and Yamal.

The group's website said it also has projects at the investment stage, including a bridge across the Lena River in Yakutsk, a bridge across Kaliningrad Bay, a bridge across the Ob River, a network of city medical clinics in Novosibirsk and the Vinogradovo-Boltino-Tarasovka road in Moscow Region, among others.

The group closed 2023 with IFRS net profit up 120% to 2.6 billion rubles on revenue up 60% to 42.9 billion rubles. Costs rose 70% to 34 billion rubles.

VIS Group's beneficiary was Igor Snegurov as of the middle of 2024, the company reported earlier.