The initial public offering (IPO) of Grup EM, the Romanian energy group that includes Electromontaj and Iproeb among other companies, closed on October 16 at 12:00 after two weeks of subscriptions, raising EUR 4.85 million for the 725.476 shares – the equivalent to 38% of the total number of shares offered under the IPO, for the price of RON 34 per share according to data from TradeVille, the offer’s intermediary.
The company is expected to begin trading on the Bucharest Stock Exchange in early November. Following the listing, the estimated free float will be around 10%.
The funds raised will remain within the company to support working capital and development projects, while the majority shareholder, Gheorghe Bîlteanu, will retain his full stake.
The offer, launched on October 3, was structured as a Dutch auction, allowing investors to place orders between RON 34 and RON 40 per share, in increments of RON 2. A total of 725,476 shares were subscribed across all price levels.
At the lower end of the subscription range, where the IPO ended, Grup EM is valued at roughly RON 660 million, corresponding to a P/E multiple of 8x based on 2024 results, when the group reported revenues of RON 1.05 billion and a net profit of RON 73 million.
Proceeds from the offering will finance ongoing energy projects through subsidiaries EM Power and EMP Grio. The group currently manages over 200 active contracts domestically and abroad.
Key domestic projects include the 400 kV lines Timișoara–Arad and Porțile de Fier–Anina–Reșița, the refurbishment of the 220 MW Vidraru hydroelectric plant, and the grid connection of the 460 MW Vifor wind farm.
Internationally, Grup EM operates in Finland, Cyprus, Poland, and Moldova, and maintains a ten-year strategic partnership with Dutch network operator TenneT BV, one of Europe’s leading power infrastructure players.
iulian@romania-insider.com
(Photo source: Inquam Photos/George Calin)
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