During the IPO, TMK Steel Limited (the Selling Shareholder) will offer investors 23.2% of TMK's stock, or 18 million shares. The company's stock will be listed on the London Stock Exchange and the Russian Trading System (RTS) stock exchange.
Along with the offering, the Selling Shareholder will sell an extra 2.65 million shares to the company's personnel.
Credit Suisse, Dresdner Kleinwort and Renaissance Capital are joint global coordinators and joint bookrunners for the global offering, TMK said.
The offering price is at the upper boundary of the price range announced by the company October 18, and matches TMK's market capitalization of $4.7 billion, TMK said.
The number of bids exceeded supply more than 1,800%, the company said in a statement.
Dmitry Pumpyansky, chairman of the TMK board of directors, said the company was satisfied with the high level of interest and the participation of a broad range of investors in the placement of securities.
"TMK is entering a new stage of development as an international public company," he said.
TMK Steel Limited also granted an over-allotment option of 18 million shares to the global coordinators. The option will be effective for 30 days, the company said.
Established in 2001, TMK accounts for 42% of Russia's steel pipe output. In 2005 the company produced 2.86 million metric tons of pipes, 750,000 metric tons of which was exported.
TMK supplies products to more than 60 countries, with clients including oil majors Royal Dutch Shell and Total, and Spanish energy company Repsol. Domestically the company produces pipes for the natural gas monopoly Gazprom, crude producers Rosneft, TNK-BP, Lukoil, Gazprom Neft, and others.
In addition to the oil and gas industries, TMK supplies pipes to the chemical and petrochemical, machine-building, power, and construction sectors.
