Finland“s Kyro Group, of which glass machinery firm Tamglass Engineering is a member, is being listed on the Helsinki Stock Exchange. The group expects its shares to be listed from around 9 June.
Th…
Finland“s Kyro Group, of which glass machinery firm Tamglass Engineering is a member, is being listed on the Helsinki Stock Exchange. The group expects its shares to be listed from around 9 June. The Kyro board is thus seeking a share capital increase with an offering of between 5 million and 8.18 million shares to institutional investors and the public, with the subscription period running from 19-28 May. By 21 May, subscriptions by some 5,000 investors had exceeded by about 10 times the maximum number of shares on offer, Kyro said. The issue corresponds to between 13.7% and 20.6% of the company“s share capital. The board intended to propose a subscription price of FM 27 to an extraordinary general meeting on 30 May. The price range had originally been set at FM 22-27. According to Kyro“s president and CEO, Pentti Yliheljo, the key objective of the stock exchange listing is the enhancement of profitable growth within its present operations both through development investments and acquisitions. Broadening the ownership base and a listing will, maintains Yliheljo, make the company accessible for new investors, which in turn will support future development prospects. The Kyro Group saw turnover rise by 35% to FM 818 million in 1996, and the group posted profits after financial items of FM 100 million, up from FM 83.5 million in 1995. Tamglass saw turnover rise by 50% to FM 451 million while another Kyro Group company, Tecnomen, which produces paging systems, posted increased turnover of FM 240 million. Exports and foreign operations now account for over 90% of the turnover of these two units. Tamglass and the group“s energy division saw profits improve, while Tecnomen“s profits did not quite reach the levels recorded in 1995.