The company said it will offer up to 120 million shares, or 40% of the share capital, to institutional investors, eligible employees, and to the Norwegian public who can invest a minimum of a NOK10,000 and a maximum of NOK2.5 million per person under a retail offering.
The offer price, between NOK32 and NOK41 a share, will raise between NOK3.84 billion and NOK4.92 billion and implies an equity value for the entire unit of NOK9.6 billion to NOK12.3 billion. This is at the low end of the range analysts were expecting, meaning "the valuation looks quite appealing...I think we'll see strong demand," according to Nordea analyst Tore Ostby. He had expected an equity valuation of between NOK11 billion and NOK13 billion.
Statoil shares were off.80, or 0.6% at NOK127.10, at 08:42 GMT.
Statoil will be a majority shareholder of SFR at the time of the IPO and listing, while "the size and time horizon of Statoil's future ownership in SFR will be tailored to support and develop company value both for SFR and for Statoil ASA," the company said in a statement.
Book building in respect of the offer will commence on October 8, with pricing of the transaction expected to take place on or around October 21.
Statoil Fuel & Retail is a road transportation fuel retailer which has some 2,300 fuel retail stations across Scandinavia, Poland, the Baltics, and Russia.Other products within the unit include stationary energy, marine fuel, aviation fuel, lubricants and chemicals.
ABG Sundal Collier Norge ASA and Citigroup Global Markets Limited are acting as Joint Global Co-ordinators and, together with BofA Merrill Lynch as Joint Bookrunners, Nordea Markets is acting as Senior Lead Manager and Retail Coordinator, while Barclays Capital and Carnegie ASA are acting as Co-Lead Managers.
Rothschild and Arctic Securities are acting as financial advisers to Statoil.
At 0805 GMT Statoil shares traded 0.5% or NOK0.60 lower at NOK127.30, underperforming a slightly lower Oslo market.
