On August 10, 2018, the European Commission issued a new decision in the case of the state aid to Nova Ljubljanska banka (“NLB”), setting a new deadline for the privatisation of the bank and adjusting the catalogue of compensatory measures. In accordance with the new decision, Slovenia is obligated to sell at least 50% plus one share of NLB by the end of 2018 and to further reduce its shareholding to the target share of 25% plus one share by the end of 2019.
NLB’s shares will be sold in an initial public offering (“IPO”) on the Ljubljana and London Stock Exchange. The timetable of the sale will be agreed between the Slovenian Sovereign Holding (“SSH”), the selected financial advisor Deutsche Bank and NLB in the coming days.
According to unofficial information reported by Finance newspaper, NLB will prepare a presentation for the analysts and publish its semi-annual business results by September 17, while non-deal presentations to investors (so-called “road shows”) should take place in all major European, American and possibly Asian financial centers by October 8. On October 15, the intention to place shares and global depository receipts (“GDR”) on the London and Ljubljana Stock Exchange (intention to float) is expected to be published. Small shareholders will be offered 10 % of the shares in the IPO without any special advertising campaign before the remaining 90% are offered to institutional investors. Like last year, the European Bank for Reconstruction and Development expressed its interest in entering NLB.
According to Finance newspaper, the selling price range will be set by October 23, followed by bid collection, which will take place from October 29 to November 8, and the publication of the selling price and distribution of shares between buyers on November 8 and 9. The expected date of closing of the transaction, when NLB shares are listed on the Ljubljana Stock Exchange and the GDRs on the London Stock Exchange, is November 14.
NLB is the largest banking group in Slovenia with a balance sheet of EUR 13 billion (end 2017 figure).