The owners of Scandinavian Tobacco Group (STG) hope to raise at least DKK 3.31 billion (EUR 444 million) in an initial public offering and list the cigar maker on Nasdaq Copenhagen by 10 February, according to the offering circular.

A range of DKK 93-110 per share was set for the book-building process to start 28 Jan and conclude no later than 9 Feb. The shares will be offered to retail and institutional investors in Denmark, the home of STG, and to institutional investors in the US.
Snus maker Swedish Match, which holds 49 per cent of STG, and the owner of the remainder, Skandinavisk Holding, will sell equal portions. The owners intend to sell 35.6 per cent of STG, equivalent to 35.6 million shares, with an option to sell another 4.4 per cent. STG will not receive any of the proceeds, the circular states
In a separate statement, Swedish Match CEO Lars Dahlgren said, “this IPO will provide many benefits to the Scandinavian Tobacco Group, helping to not only diversify the shareholder base, but also to increase the visibility of the company and enable the company to further develop its businesses and remain a strong and attractive employer. For Swedish Match, such an IPO would provide tangible benefits to our shareholders in terms of both return of shareholder value and enhanced focus on our core business.”