AutoWallis plans public raising of capital equal to HUF 4-6.5 bln

Automotive

AutoWallis CEO Gábor Ormosy (center) noted that although the company already has 2,300 retail investors, the aim is to increase this number and its free float to help improve the liquidity of the shares.

In line with its earlier plans, AutoWallis is planning to raise between HUF 4-6.5 bln in institutional and retail capital in the interest of financing the growth strategy it had announced earlier, according to a press release sent to the Budapest Business Journal.

The company listed in the Premium Category of the Budapest Stock Exchange has already taken the preparatory steps necessary for the transaction.

The primary aim of the public share offering is to finance the AutoWallis Group’s plans for growth, in addition to which another important goal is to increase the company’s role on the stock market as well as the liquidity of its shares.

The CEO of AutoWallis, Gábor Ormosy said that a prospectus approved by the National Bank of Hungary (MNB) is necessary for the raising of capital. The company is already working on the draft version. He reminded that this won’t be the first time AutoWallis raises capital on the capital market; however, this will be the first time some members of the public will be given the opportunity to participate in raising the company’s capital.

AutoWallis most recently raised its capital last December, in a value of HUF 1.4 bln, with the involvement of three prominent institutional investors (Széchenyi Alapok, Generali Alapkezelő Zrt., Dialóg Befektetési Alapkezelő Zrt.). The CEO emphasized that although the company already has 2,300 retail investors, the aim is to increase this number and its free float to help improve the liquidity of the shares. In addition to retail sales, AutoWallis also plans to involve additional institutional investors.

Gábor Ormosy also said that the target of their growth plans is to help make the AutoWallis Group a major vehicle trading company and mobility service provider in the Central and Eastern European region by the end of the decade.

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