AVTODOM announces entry to the public market

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AVTODOM plans to enter the debt securities market with the debut issue of ruble bonds. The book for collecting investor bids has been tentatively scheduled for December 24 of this year. The volume of the placement will be 5 billion rubles. The circulation period of the issue is 3 years.

AVTODOM is an automobile holding specializing in sales and service of premium and luxury cars. Today the company’s portfolio includes 8 brands: BMW, BMW Motorrad, MINI, Lamborghini, Mercedes-Benz, Porsche, Audi, and KTM. AVTODOM became the first official BMW dealer in Russia, and in 2002 AVTODOM became the first official MINI dealer.

The company is included in the RAEX TOP-600 rating of the largest companies in Russia and in the TOP-10 auto dealers in Russia in terms of revenue at the end of 2020. In October 2021, Forbes Russia included AVTODOM in the TOP-10 of the most dynamic companies at the end of 2020.

The company’s revenue is formed through the sale of new and used cars, service maintenance, trade-in, sale of spare parts and accessories, insurance and financial products. The company’s revenue for the first half of 2021 reached RUB 42.4 billion as a result of a significant improvement in its own financial results and the synergy effect from the acquisition of new dealerships. This roughly corresponds to revenue for the entire 2020. EBITDA LTM as of mid-2021 amounted to RUB 7.38 billion. The company’s assets amounted to 37.5 billion rubles; capital was 9.6 billion rubles according to the consolidated financial statements according to IFRS standards as of June 30, 2021

In October 2021, Expert RA raised the credit rating of AVTODOM to ruBBB+, with a stable outlook. The increase in the rating is due to the continuing trend of a significant increase in financial results of AVTODOM against the background of organic growth, both excluding new subsidiaries and due to the successful integration of recently acquired new dealerships. This happened, among other things, due to the continued limited supply of new cars on the market. This, in turn, led to a significant improvement in debt burden indicators, which will remain in the medium term.

«Our company is constantly developing. We scale up the business and improve the architecture of existing business processes. Now we are betting heavily on digitalizing our business and launching our own e-commerce platform for selling cars. Our One Touch Service concept is underway and is already yielding positive results. This will enable us to soon become one of the first digital dealers in Russia. Raising public funding will also allow us to expand the stock of new cars and invest in more active development of the used cars business. In addition, in 2022 we plan to raise the credit rating to ruA- and, of course, in the next few years in the strategy of AVTODOM – going to an IPO», – Andrey Olkhovsky, CEO of AVTODOM, shared his plans.

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