CZ Going Public? Prague Stock Exchange to List Company's Shares -
In a press release
dated May 31st, 2020, Czechoslovakian firearms
manufacturer Česká zbrojovka Group SE
(CZG for short, more commonly known as CZ) announced shares of their company will be listed on the Prague Stock Exchange as of June 1st. This is not yet an IPO, or Initial Public Offering, by which shares of ownership in CZ can be bought and sold. Rather, this is a technical listing in preparation for CZ to go public sometime between the third quarter of 2020 and the 1st quarter of 2021, dependent on a number of variables including market conditions.
CZ’s press release reads as follows:
Praha (31 May 2020) ― The shares of CZG – Česká zbrojovka Group SE (“CZG” or the “Company”), one of the leading European manufacturers of firearms, have been admitted to trading on the Prime Market of the Prague Stock Exchange (“Prime Market”) with effect from 1 June 2020 in the form of a so-called technical listing without a prior public offering of the shares. In connection with the listing, the Company prepared a prospectus, which was published on the Company’s website today.
“The decision to list shares on a regulated stock market is an expression of our determination to operate as transparently and openly as possible. We believe that we will further strengthen our credibility for partners, especially in international markets,” says Lubomír Kovařík, president of CZG. “It is also a first step towards our long-term goal to become a standard traded company that can enter the capital market at the right time to obtain financing for its development plans,” adds Mr. Kovařík.
The shares reference price was set based on a valuation prepared by the Company. CZG will be subject to all reporting and other obligations associated with the listing of shares on the Prime Market.
CZG expects that, depending on the development of market conditions, it could proceed with a public offering of its shares in the future. However, no final decision has been made on the form or timing of such a possible offer.
“Česká zbrojovka brand represents the field of precision engineering, in which we have always belonged to the absolute top leaders. I am extremely glad that the name of such an important and world-famous company is associated with the name of the Prague Stock Exchange. I strongly believe that thanks to the technical listing, the issuer will build the same excellent reputation on the capital market as it has in its field, and that it will soon access the capital market for issuing its shares, which will be offered to a wide range of investors,” says Petr Koblic, CEO of the Prague Stock Exchange.
CZG – Česká zbrojovka Group is one of the leading European producers of firearms
and law enforcement, personal defense
, hunting, sport shooting and other civilian use. Its companies include Česká zbrojovka, CZ-USA, Brno Rifles, 4M Systems and CZ Export. The CZ (Česká zbrojovka) brand has over 80 years of history. CZG has production facilities in the Czech Republic and the United States, in which it employs approximately 1,650 people. Last year, CZG announced plans to build a new manufacturing and distribution facility in Little Rock, Arkansas.