LONDON The price range for the offer of ordinary shares to institutional investors and eligible employees of QinetiQ Group in the U.K. and elsewhere has been set at between 165p and 205p. This means the company will have a market capitalisation between £1,095 million to £1,325 million.
The main shareholder, the U.K.'s MOD and the Carlyle Shareholders, expect that their holdings of ordinary shares in the company following the offer will be approximately 23.7% and 12.9% respectively assuming a final offer price is 185p.
At an offer price of 185p the total gross proceeds will be approximately £582million providing £150 million for the company.
The company, the MOD and the Carlyle Shareholders have agreed that they will not issue or sell any shares for a period ending 180 days from admission without the consent of the joint bookrunners.
Following the completion of bookbuilding and determination of the final offer price, which is expected to be announced on or around 10 February, conditional dealings on the London Stock Exchange are expected to commence on or around 10 February. Admission and commencement of unconditional dealings on the London Stock Exchange are expected to commence on or around 15 February.
In the six months ended 30 September 2005, QinetiQ's turnover was up 28.3% to £473.5million with an operating profit up 39.7% to £37.3million.