Published: 2020-10-06 19:10:00 CEST
Ignitis grupė
Notification on material event

AB Ignitis grupė stabilisation notice

“Ignitis grupė”, a leading utility and renewable energy company in the Baltic region announced on 2 October 2020 the successful completion of the bookbuilding period and the final offer price for the initial public offering (the “IPO” or the “Offering”) of Ignitis grupė ordinary shares (the “Shares”) and global depository receipts representing the Shares (the “GDRs”, and together with the Shares, the “Offer Securities”). One GDR represents an interest in one Share.

Swedbank AB (“Swedbank”) in Cooperation with Kepler Cheuvreux (“Kepler”), as stabilisation manager (the “Stabilisation Manager”), in connection with the Offering, will have the right to acquire Shares and/or GDRs (the “Securities”) not exceeding, in aggregate, 10 per cent of the Offer Shares (i.e. 10 per cent counted on 6,319,389 Offer Shares) and 10 per cent of the Offer GDRs (i.e. 10 per cent counted on 13,680,611 Offer GDRs), in order to stabilise the stock market price of the Securities at a level higher than that which would otherwise prevail. The acquisition of Securities as part of stabilising transactions will be subject to the applicable provisions of the Commission Delegated Regulation (EU) 2016/1052. The transactions to purchase Securities may be effected only during the period commencing on the first trading day of the Shares on the Nasdaq Vilnius and of the GDRs on the London Stock Exchange and terminating 30 days after that date (the "Stabilisation Period"). The transactions to purchase Securities may only be effected at a price not exceeding the Final Offer Price. The Stabilisation Manager will not, however, be required to take any stabilisation actions. If any such actions are taken by the Stabilisation Manager, they may be discontinued at any time, but not later than the end of the Stabilisation Period. No assurance may be given that such stabilisation actions, if taken, will bring the expected results. The Stabilisation Manager will, in relation to the matters set out above, act as principal and not on behalf of any other person, including the other Joint Bookrunners. For further details on stabilisation activities, please see the Prospectus dated 21 October 2020 prepared by the Company in connection with the IPO.

The mechanics of the stabilisation will be handled by Swedbank in Cooperation with Kepler as follows:
Should the price of the shares decline below the Final Offer Price in the aftermarket the following 30 calendar days after listing, the Stabilisation Manager may purchase shares and / or GDRs in the market, thereby supporting the stock price. The Stabilisation Manager will consider buying Shares and/or GDRs in the following tranches:

  • Offer Shares listed on Nasdaq Vilnius through Swedbank.
  • 144A GDRs  listed on the International Order Book at the London Stock Exchange through Kepler.
  • Regulation S GDRs listed on the International Order Book at the London Stock Exchange through Kepler.

Th Stabilisation Period is expected to start on or around 7 October and to end on or around 5 November.

Within one week following the expiry of the Stabilisation Period, the Stabilisation Manager will publish an announcement on Nasdaq Vilnius and London Stock Exchange, under the Company's ticker, with information as to whether or not it has undertaken any stabilisation activities, including the total number of shares and / or GDRs purchased, the date at which the stabilisation activities commenced, the date at which stabilisation activities last occurred and the price range within which stabilisation was carried out for each of the dates where stabilisation transactions were made. Any stabilisation activities will be conducted in accordance with Law on Markets in Financial Instruments of the Republic of Lithuania (in Lithuanian: Lietuvos Respublikos finansinių priemonių rinkų įstatymas) and the EC Commission Regulation 2273/2003, as well as the Market Abuse Regulation and the Commission Delegated Regulation (EU) supplementing the Market Abuse Regulation with regard to regulatory technical standards for the conditions applicable to buy-back programs and stabilization measures.

For more information please see the attached Stabilisation notice.