Dentons advised Hidroelectrica on 1.9 billion Euro initial public offering

A cross-border team from global law firm Dentons advised Hidroelectrica on its 1.9 billion Euro initial public offering and listing on the Bucharest Stock Exchange, resulting in an implied market capitalization of 9.4 billion Euro.

The transaction was the largest IPO in Romania to date and the largest in Europe in 2023. The transaction was announced on June 6, 2023, priced on July 5, 2023, and the first day of trading on the Bucharest Stock Exchange will be July 12, 2023.

Fondul Proprietatea, an alternative investment fund managed by Franklin Templeton International Services acted as the selling shareholder in this landmark transaction. 

Dentons acted as Romanian, U.S. securities and English counsel to Hidroelectrica in connection with the transaction. Citigroup Global Markets AG, Erste Group Bank AG, Jefferies International Limited and Morgan Stanley International SE were joint global coordinators for the transaction; Banca Comerciala Romana S.A., Barclays Bank Ireland PLC, BofA Securities Europe SA, UBS Europe SE, UniCredit Bank AG and Wood & Company Financial Services, a.s. acted as joint bookrunners; and Auerbach Grayson, BRD – Groupe Société Générale, S.S.I.F. BT Capital Partners S.A. and S.S.I.F. Swiss Capital S.A. acted as co-lead managers.

Bogdan Badea, CEO Hidroelectrica: “I take this opportunity to thank the professionals within the Dentons team, our legal advisor, led by Loredana Chitu. They have brought to this IPO not only their top expertise, but also their energy, can-do attitude, and hard work.”

Loredana Chitu, Head of Dentons’ Capital Markets team in Bucharest, and who co-led the Dentons team, commented: “This important listing was made possible through the collaborative efforts of the Hidroelectrica team, the selling shareholder, the underwriters, consultants, regulatory authority and all parties involved, whom we congratulate for this success. As the legal advisor to the issuer, we take great pride in our pivotal role in facilitating the successful closing of this IPO, which demonstrates Dentons’ strength in complex capital markets transactions. As a Romanian, I also take pride in being a part of making history on the Bucharest Stock Exchange.”