[Reader-list] FINANCE: Global Turmoil Hurts Grameenphone IPO

[Naeem Mohaiemen]

No one is insulated. - N

Grameenphone cuts fund-raising target
HONG KONG, Oct 6 (Reuters) - Bangladesh's top cellphone carrier,
Grameenphone, has cut the size of its planned share sale by more than
half, to $125 million, amid the sharp downturn in global markets, a
person familiar with the matter said.

Initially the company, which is 62 percent owned by Norway's Telenor
(http://www.reuters.com/stocks/quote?symbol=TEL.OL), had hoped to
raise $300 million -- half through a private placement and half
through a subsequent domestic initial public offering.

Now the company is looking to raise $50 million in the pre-IPO
placement, although that part of the share sale can be increased if
demand warrants. The IPO, set to launch at the end of December, has
been cut in half to $75 million, the person said.

Citigroup, which is handling the deal, declined to comment. A
Grameenphone official could not immediately be reached for comment.

Late last month, Grameenphone said it had extended the period for its
private placement, citing challenging global capital market
conditions.

The scaling back of the deal was initially reported on Monday by
FinanceAsia.com. (Reporting by Tony Munroe; Editing by Ken Wills)

http://www.reuters.com/article/rbssTechMediaTelecomNews/idUSHKG2760120081006