Czech spunmelt producer Pegas Nonwovens will raise up to €264 million in a planned initial public offering scheduled for mid December. Up to 5.284 million existing and new shares will be offered at up to €50 each valuing the entire company at around €472 million after the share issue.
In recent years Pegas, which was purchased by a U.K.-based private equity fund, Pamplona Capital Partners in late 2005, has reported significant growth and investment. In 2005, the company’s sales rose from €75 million to €110 million thanks largely to new capacity. That year, the company brought its seventh spunbond production line, capable of producing 15,000 tons of material annually onstream. Pegas’ eighth line is already planned. The company announced this €40 million investment in 2006. The bulk of Pegas’ output targets the European hygiene market but the company also serves specialty markets throughout the world, according to executives.