Agalarov announces plans to hold IPO of Crocus Group

Russia’s Crocus Group is considering an initial public offering (IPO), President of the group Araz Agalarov said in an interview with RBC, Report informs.

He specified that the final decision is planned to be made in the next year or two.

Agalarov said that it has not yet been decided how many shares can be offered as part of the IPO. “Now we are looking at offers from different banks and investment companies (for the IPO),” the businessman said. He did not specify which banks and companies he was talking about.

When asked about the minimum valuation of the company, Araz Agalarov replied that “this is not the question.” “In order for people to see what they are investing in, they must understand the result and the rise in the value of the stock. We need to build something for this money,” he explained.

Araz Agalarov founded Crocus International in 1989, in 1992 it was transformed into Crocus Group CJSC. The company owns and operates over 1.5 million sq. m of commercial real estate. Its revenue for 2020 amounted to 55.5 billion rubles ($765.6 million). Forbes estimated the company’s rental income at $240 million.