The leading Russian telematics company Russian Navigation Technologes has completed RUR 300 million (ca. $10 million) initial public offering (IPO) of shares on the Innovation and Growth Companies Sector (Рынок Инноваций и Инвестиций или РИИ) of MICEX Stock Exchange. The company sold to investors 3,520,000 newly issued shares (or 18.03% of the company’s share capital) at RUR 85.23 per share. The IPO values the company at RUR 1,663 million (ca. $53.7 million).
Founded in 2005, Russian Navigation Technologies (RNT) specializes in development, production and installation of GPS/GLONASS-based telematics system AutoTracker for transport monitoring and fleet management. Over 60,000 vehicles in Russia use AutoTracker, which is more than 20% out of 250,000 vehicles in Russia equiped with GPS/GLONASS transport monitoring devices.
RNT reported revenues of RUR 210 million (ca. $7 million), EBITDA of RUR 44 million and net income of RUR 36 million in 2009. RNT plans to increase its revenues to over RUR 1,900 million in 2014. The Russian telematics market is expected to grow from RUR 900 million in 2009 to RUR 5,800 million in 2014.
In September 2008, VTB Venture Capital invested RUR 170 million (ca. $5.7 million) in Russian Navigation Technologies. After IPO, VTB will own 30.7% stake in RNT. Boris Satovskiy, CEO of RNT will own 26.6% stake in the company.
The IPO of Russian Navigation Technologies (AutoTracker) should be the first venture capital-backed IPO of the Russian technology company on the Russian stock exchange. The IPO’s managed by Otkritie and co-managed by Finam and ALOR Invest.