Install

Get the latest updates as we post them — right on your browser

. Last Updated: 07/27/2016

PIK Makes Spending Plans

Property developer PIK Group will spend proceeds from its share listing on acquiring new projects and repaying some of its debt, the firm's head said in an interview published in Vedomosti on Monday.

PIK Group president Kirill Pisarev told Vedomosti that the company had already purchased plots in Moscow and the towns of Svetlogorsk and Kaluga.

"Apart from that, we wanted to improve our credit portfolio, having paid back a series of rather inconvenient debts," Pisarev told the newspaper. He said PIK Group's borrowings had been reduced to $800 million after the share listing from $1 billion before.

PIK Group raised $1.8 billion in an initial public offering in June, near the bottom of its placement range, becoming the country's top developer with a market value of $12.3 billion.

The company said the offering, which was placed at $25 per share, was Europe's largest IPO by a real estate firm.

Pisarev told Vedomosti that Asian investors took up about one-third of the offer and U.S. and European investors the remainder.

London-listed shares in PIK Group climbed to $29.53 on July 23 but have since fallen below the IPO price and were last traded at $23.38.