Lazard Freres, STJ Advisors Group, and Deloitte Consultanta have signed up in a repeat tender to provide equity advisory services to Romania's Hidroelectrica in view of an initial public offering (IPO), a public procurement notice shows.
The value of the contract is $1.75 million ($1.91 million), according to the notice published in Romania's electronic system for public procurement, SEAP, on April 7.
State-owned power company Hidroelectrica launched a new tender for IPO advisory services at the beginning of March, after dismissing all bids placed in a previous tender launched in January. Hidroelectrica gave no reasons for rejecting the offers at the time. The three companies were the sole candidates in the first procurement procedure.
Lazard, formerly known as Lazard Frères & Co., is a financial advisory and asset management firm that engages in investment banking, asset management, and other financial services primarily with institutional clients. Its principal executive offices are located in New York, Paris and London.
Deloitte Consultanta is one of seven companies through which Deloitte offers audit, tax, legal, consulting, financial advisory, risk advisory, business processes and technology services in Romania.
STJ is an independent global equity capital markets advisory firm providing strategic, structuring and process management advise for IPO candidates and financial sponsors, restructuring existing debt issues or raising new funds, according to its website.
In February, local media reported that the European Bank for Reconstruction and Development (EBRD) is interested in acquiring a 5% stake in Hidroelectrica.
"We support the listing of the company on the Bucharest Stock Exchange. We have a letter of intent from the EBRD which wants to be part of the pre-listing procedure by acquiring a 5% stake," daily Ziarul Financiar quoted economy and energy minister Virgil Popescu as saying at the time.
The energy company exited insolvency In April 2017, which paved the way for its listing on the Bucharest Stock Exchange expected to be the biggest in Romania’s history. The initial public offering of a 15% stake in Hidroelectrica is expected to raise 1 billion euro, the court-appointed administrator of the company said at the time.
Hidroelectrica is 80.06% owned by the Romanian state, while investment fund Fondul Proprietatea owns 19.94%.
(SeeNews, April 13, 2020)
