Fortuna’s IPO not struggling, it claims

Fortuna, a Czech betting company, has refuted media reports that its IPO has had problems attracting investors. A Czech newspaper, Rzeczpospolita, reported that Polish pension funds, wary of controversial business such as gambling, were not investing. Fortuna is seeking 82 million euros ($114.2 million). It is owned by private equity firm Penta Investments, which is partially exiting the company.

(Reuters) – Czech betting company Fortuna is confident its initial public offer (IPO) will succeed, the head of Fortuna’s supervisory board Josef Janov told Reuters, rebutting a report that it had problems attracting financial investors.

Earlier on Thursday Rzeczpospolita daily reported the offer failed to attract interest of Polish pension funds, because they wanted to stay away from controversial businesses.

“Our bookbuilding ends at 1700 (1500 GMT). We have no reasons to worry about the offer’s success,” Janov told Reuters. “With satisfaction we see interest from investment and pension funds, also from Poland.”

In the first IPO on the Prague bourse since May 2008, Fortuna is seeking 82 million euros ($114.2 million) from an issue of new shares to finance the launch of a lottery unit. Its owner, private equity firm Penta Investments, is also partially exiting the company.

Fortuna will issue 2 million new shares and will sell 13.83 million existing shares.

The company will also later list in Warsaw.

(Reporting by Patryk Wasilewski; Editing by David Holmes)